Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Check my work Garfield Company manufactures a popular brand of dog repellant known as Dog Gone It, which it sells in gallon-size bottles with a
Check my work Garfield Company manufactures a popular brand of dog repellant known as Dog Gone It, which it sells in gallon-size bottles with a spray attachment. The majority of Garfield's business comes from orders placed by homeowners who are trying to keep neighborhood dogs out of their yards. Garfield's operating information for the first six months of the year follows: Month January February March April May June Number of Bottles Sold 1,010 1,420 1,850 2,360 3,490 3,600 Operating Cost $ 10,460 15,750 15,970 19,820 27,660 34,700 Required: 3. Using the high-low method, calculate Garfield's total fixed operating costs and variable operating cost per bottle. 4. Perform a least-squares regression analysis on Garfield's data. 5. Determine how well this regression analysis explains the data. 6. Using the regression output, create a linear cost equation (y= a + bx) for estimating Garfield's operating costs. Complete this question by entering your answers in the tabs below. Required 3 Required 4 Required 5 Required 6 Using the high-low method, calculate Garfield's total fixed operating costs and variable operating cost per bottle. (Do not round your intermediate calculations. Round your variable cost per unit answer to 2 decimal places and fixed cost answer to the nearest whole number.) Variable Cost per Unit Fixed Cost Complete this question by entering your answers in the tabs below. Required 3 Required 4 Required 5 Required 6 Perform a least-squares regression analysis on Garfield's data. (Use Microsoft Excel or a statistical package to find the coefficients using least-squares regression. Round your answers to 3 decimal places.) Coefficients Intercept X Variable 1 Complete this question by entering your answers in the tabs below. Required 3 Required 4 Required 5 Required 6 Determine how well this regression analysis explains the data. (Round you regression statistics to three decimal places and your percentage answer to the nearest whole number.) Regression Statistics Multiple R R Square Adjusted R Square Standard Error Observations From the regression output, number of bottles explains about of the variability in % Garfield's total cost. Complete this question by entering your answers in the tabs below. Required 3 Required 4 Required 5 Required 6 Using the regression output, create a linear cost equation (y = a + bx) for estimating Garfield's operating costs. (Round your answers to 3 decimal places.) Total Cost = + (Number of Bottles)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started