Exhibit 16-1

question 16

Multiple Choice

Exhibit 16-1.The following Excel scatterplot with the fitted quadratic regression equation illustrates the observed relationship between productivity and the number of hired workers. Refer to Exhibit 16.1.Assuming that the number of hired workers must be integer,what is the maximum productivity to achieve?

• A)29.58
• B)30.00
• C)124.603
• D)124.585

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Definitions:

Contribution Margin Ratios

The ratio of the contribution margin to sales revenue, expressing the percentage of revenue that contributes to fixed costs and profits after variable costs are covered.

R-Squared

A statistical measure that represents the proportion of the variance for a dependent variable that's explained by an independent variable or variables in a regression model.

Dependent Variable

A variable in an experiment or study whose changes depend on the manipulation of one or more independent variables.

Independent Variable

An independent variable is a condition or factor that can be manipulated in an experiment to determine its effect on a dependent variable, establishing cause-and-effect relationships.