1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Anvisha [2.4K]
3 years ago
11

Brews 4 U is a local chain of coffee shops. Managers are interested in the costs of the stores and believe that the costs can be

explained in large part by the number of customers patronizing the stores. Monthly data regarding customer visits and costs for the preceding year for one of the stores have been entered into the regression analysis.
Average monthly customer-visits 1,462
Average monthly total costs $4,629
Regression results: Intercept $1,496
b coefficient $2.08
R2 0.86814

Required:
a. In a regression equation expressed as y= a + bx, how is the letter b best described?
b. How is the letter y in the regression equation best described?
c. How is the letter x in the regression equation best described?
d. Based on the data derived from the regression analysis, what are the estimated costs for 370 customer-visits in a month?
e. What is the percent of the total variance that can be explained by the regression equation?
Business
1 answer:
Elden [556K]3 years ago
3 0

Answer:

Explanation:

a. In a regression equation expressed as y= a + bx, how is the letter b best described?

Here, b is the slope and best described as the estimate of the cost when there's a visit of an additional customer.

b. How is the letter y in the regression equation best described?

The letter y is the observed store cost for that particular month.

c. How is the letter x in the regression equation best described?

The letter x is the observed customer visit for that particular month.

d. Based on the data derived from the regression analysis, what are the estimated costs for 370 customer-visits in a month?

The estimated cost for 370 customer visit will be:

Y = a + bx

where,

a =$1496

b = $2.08

x = 370 customer visit

Y = $1496 + ($2.08 × 370 customer visit)

= $1496 + $769.6

= $2265.6

e. What is the percent of the total variance that can be explained by the regression equation?

The percent of total variance which the regression equation explain will be:

R2 = 0.86814 or 86.814%

You might be interested in
X Corporation and its two divisions, Domestic and Foreign, appear below:
anyanavicka [17]

Answer: $192,200

Explanation:

Based on the information that have been provided in the question, the segment margin for the domestic division will be calculated as:

Segment Margin = Segment Sales Revenue - Segment Variable Expenses - The Traceable Fixed Cost

= $640,000 - $371,300 - $76,500

= $192,200

5 0
3 years ago
The following information is available for Sunland Company:
vladimir1956 [14]

Answer:

Contribution margin= 250,000

Explanation:

Giving the following information:

Sales $590,000

Total fixed expenses $150,000

Cost of goods sold $390,000

Total variable expenses $340,000

<u>A CVP income statements provides the following structure:</u>

<u></u>

Sales= 590,000

Total variable costs= (340,000)

Contribution margin= 250,000

6 0
3 years ago
For each transaction indicate whether each account would be classified in the balance sheet as an asset
oksano4ka [1.4K]

Answer:

I'm not at this level

Explanation:

Note: I'm really sorry if I didn't answer this. I am just doing a challenge and earning points. Sorry

6 0
3 years ago
Below, you are provided with four groups of different goods. These goods are differentiated by the number of likely substitutes
gavmur [86]

Answer and Explanation:

The red and the convertible cars would be considered similar i.e. they are perfect substitutes also the car and the convertible car would be the substitutes but it is not a perfect as the convertible car would be the subset of the car group plus the expenditure made on the convertible car would be high so here the elasticity is more

7 0
3 years ago
Adjusting and paying accrued wages L.O. C1, P1 Pablo Management has seven part-time employees, each of whom earns $205 per day.
Marizza181 [45]

Answer:

1- Wages Expense (Dr.) $1,025

Wages Payable (Cr.) $1,025

2- Wages Expense (Dr.) $1,845

Wages Payable (Cr.) $1,025

Cash (Cr.) $820

Explanation:

Wages expense = $205 * 5 days a week = $1,025 per week.

Wages expense = $205 * 4 days a week = $820 per week.

7 0
3 years ago
Other questions:
  • Payback Period Jan Booth is considering investing in either a storage facility or a car wash facility. Both projects have a five
    8·1 answer
  • When using the wet method, holding the spray nozzle too close to the brake surface may cause asbestos fibers to
    14·1 answer
  • Label the following hypothetical demand scenarios. Use the midpoint method.
    5·1 answer
  • A check with a future date on it is called
    12·1 answer
  • James Frank has been put in charge of gathering marketing intelligence, disseminating it within his organization, and eventually
    9·1 answer
  • Which of the following was not a significant factor in the expansion of the French Film industry in the middle 1900s
    10·1 answer
  • If the required reserve ratio is 20 percent and commercial bankers decide to hold additional excess reserves equal to 5 percent
    10·1 answer
  • Suppose there are only two factors of production, labor and capital, and two goods, cloth and bicycles. a. The UK has 50M worker
    9·1 answer
  • A not-for-profit firm uses a small convenience sample to gather data on customer reactions. It invites a small group of customer
    5·1 answer
  • Suppose your school is considering whether to spend $20 million building a new state- of-the-art recreation facility. All of the
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!