At the Verill Company, the cost of the library and information center has always been charged to the various departments based upon number of employees. Recently, opinions gathered from the department managers indicate that the number of engineers within a department might be a better predictor of library and information center costs.

Total library and information center costs are

$ 212 comma 000$212,000.

Department	A	B	C
Number of employees	150150	510510	140140
Number of engineers	55	7575	1010

Which cost estimation method is being used by Verill Company?

A.

the conference method.

B.

the operating costing method.

C.

the marginal costing method.

D.

the regression analysis method.