=+3-42 KKK Purchasing Department cost drivers, multiple regression analysis (continuation of 3-41)

(Appendix 3-1)

Barry Lee decides that the simple regression analysis used in Problem 3-41 could be extended to a multiple regression analysis. He finds the following results for two multiple regression analyses:

Regression 4: PDCs = a + (b1 × No. of POs) + (b2 × No. of Ss)