Cost estimation using regression analysis. Vitasoil Beverages has observed the following overhead costs for the past 12 months:

The results of the regression analysis are:

a. Plot the data and the regression line (like Problem 3.4 for Self-Study).

b. Estimate total monthly costs for a month when 8,000 boxes are produced.

Transcribed Image Text:

Month Overhead Costs Boxes of Output January $11.400 4.500 February 15.600 11.000 March 16.800 12,000 April 12.000 5,500 May 14.100 9,000 June 15.600 10,500 July 13.200 7,500 August 12.300 5,000 September 15.600 11,500 October 12,900 6,000 November 14,400 8,500 December 15,000 10,000