Your Boss Would Like You to Estimate the Fixed and Variable

question 5

Multiple Choice

Your boss would like you to estimate the fixed and variable components of a particular cost. Actual data for this cost over four recent periods appear below.
Using the least-squares regression method, what is the cost formula for this cost?

• A) Y = $24.51 + $1.08X
• B) Y = $10.33 + $1.92X
• C) Y = $0.00 + $2.32X
• D) Y = $15.80 + $1.70X

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Definitions:

Cognitive Therapy

A form of psychotherapy that emphasizes the role of thought patterns and beliefs in influencing behavior, aiming to change negative thinking patterns to improve emotional state and behavior.

Anxiety

A feeling of worry, nervousness, or unease about something with an uncertain outcome, often reflecting apprehension about future events.

DSM-IV

The Diagnostic and Statistical Manual of Mental Disorders, Fourth Edition, which is a guide used by healthcare professionals to diagnose mental disorders.

Axes

Plural form of axis; referring to the imaginary lines around which objects rotate or the lines used to reference points or directions in geometry or graphs.