Valle Crucis Corporation Wanted to Determine the Relationship Between Its

question 246

Multiple Choice

Valle Crucis Corporation wanted to determine the relationship between its monthly operating costs and a potential cost driver, machine hours. The output of a regression analysis showed the following information (note: only a portion of the regression analysis results is presented here) : What is the cost equation based upon the results of the regression analysis?

• A)y = $072x
• B)y = $0.72x + $2,945.95
• C)y = $2,945.95x + $0.72
• D)y = $2,945.95 + $0.72

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Definitions:

Exploitative

Utilizing someone or something unfairly for one's own advantage.

Process Innovation

The introduction of new or improved operational and work methods.

Operational

Pertaining to the activities that form the day-to-day functions and processes of an organization.

E-Commerce

The buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, primarily the internet.