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8. It often happens that just before putting a job up for auction, ODOT realizes that the project requirements have changed. For example, ODOT may

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8. It often happens that just before putting a job up for auction, ODOT realizes that the project requirements have changed. For example, ODOT may learn that one more pedestrian bridge is needed than originally planned. For a common type of project it is known that an additional bridge does not affect job duration or road length but that it will increase fixed costs (FxCost) by 15 percent and overall estimated costs (FairPr) by 5 percent. Your goal is to estimate the percentage increase in the winning bid (the Price of the contract) that will ultimately result from the change in projected costs in such projects. (@) What regression would you use to estimate the increase in Price? Write down the estimated regression equation and explain how you arrived at that regression. (b) Using this regression, what is your estimate for the percentage increase in the Price of this contract

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