TABLE 14-5 A Microeconomist Wants to Determine How Corporate Sales Are Influenced

question 140

Multiple Choice

TABLE 14-5
A microeconomist wants to determine how corporate sales are influenced by capital and wage spending by companies. She proceeds to randomly select 26 large corporations and record information in millions of dollars. The Microsoft Excel output below shows results of this multiple regression.
-Referring to Table 14-5, which of the independent variables in the model are significant at the 5% level?

• A) Capital, Wages
• B) Capital
• C) Wages
• D) None of the above

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Definitions:

Finished Goods Inventory

The inventory of finished goods available for sale but which remain unsold.

Work-In-Process Inventory

Inventory representing the cost of unfinished goods in the production process at a given point in time.

Direct Labor Hours

The total hours worked directly on the production of goods and services, often used in calculating labor costs.

Sales Salary Expense

The cost associated with compensating employees involved in the sales process, typically classified as a selling expense.