The Table Below Shows the National Expenditures for Health Care

question 82

Multiple Choice

The table below shows the national expenditures for health care in a certain country for selected years. Find a power model and a linear model for the data where x is the number of years after 1950. Which of the models seems to be the best to use if you are interested in finding the health care costs near the year 1990? Round numerical values in your answers to three decimal places. ​

• A) The power model gives more accurate results near the year 1990.
• B) The linear model gives more accurate results near the year 1990.
• C) The power model gives more accurate results near the year 1990.
• D) The linear model gives more accurate results near the year 1990.
• E) The power model gives more accurate results near the year 1990.

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Definitions:

Total Cost Variance

The overall difference between the actual costs incurred and the standard or budgeted costs, across all categories of expenses.

Variable Factory Overhead

Costs of manufacturing that vary with the level of production output, such as utility costs for machinery.

Controllable Variance

The difference between the expected cost and the actual cost that management has the power to influence or control.

Fixed Factory Overhead

Regular, consistent expenses incurred in the operation of a factory that do not vary with production level, such as rent, salaries, and insurance.