Question
Arthur Corporation used regression analysis to predict the annual cost of indirect materials. The results were as follows: Indirect Materials Cost Explained by Units Produced
Arthur Corporation used regression analysis to predict the annual cost of indirect materials. The results were as follows: Indirect Materials Cost Explained by Units Produced
| Constant | $23000 |
| Standard error of Y estimate | $500 |
| R2 | 0.743 |
| Number of observations | 645 |
| X coefficient(s) | 23 |
| Standard error of coefficient(s) | 1.7 |
If the company expects to produce 15,000 units, what is the estimated cost of indirect materials?
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Financial Accounting An Introduction To Concepts Methods And Uses
Authors: Sidney Davidson, Roman L. Weil, Clyde P. Stickney
2nd Edition
0030452961, 978-0030452963
