If an Estimated Regression Line Has a Y-Intercept of 10

question 36

Multiple Choice

If an estimated regression line has a y-intercept of 10 and a slope of 4, then when x = 2 the actual value of y is:

• A) 18
• B) 15
• C) 14
• D) unknown
• E) 2

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Definitions:

Direct Labor Hour

A measure of the time spent by workers manufacturing a product or delivering a service.

Special Materials

Unique or unusual materials required for specific production processes or products, often implying additional cost or procurement effort.

Step-fixed Costs

Expenses that remain constant over a range of production but can change when production exceeds certain levels.

Inflationary Price Increase

A rise in prices across the board that is often attributed to an increase in the money supply or demand outpacing supply.