Drill bit scenario. A manufacturer of steel containers was concerned that its drill bits (used for drilling 1/8th inch holes in steel sheets) were wearing out too quickly. An experiment was performed in which each drill bit in a sample of 20 drill bits was used at a particular operation speed (in rpm, revolutions per minute) and the bit's capacity (# holes it could drill before wearing out) was determined. Given below are the resulting data as well as the results of using Excel to regress Capacity on OperatingSpeed. Thus the model specification is Capacity = Po + 1OperatingSpeed + E. [Source: Adapted from Hildebrand et al (2005), p. 518] SUMMARY OUTPUT Regression Statistics Multiple R 0.94812531 R Square 0.8989416 Adjusted R Squar 0.89332725 Standard Error 333.467854 Observation 20 ANOVA SS MS F Significance F Regression 1 17804899 17804899 160.1148 2.139E-10 Residual 18 2001614.6 11 1200.8 Total 19 19806514 Coefficients Standard Error 1 Stat Picdue Lower 95% Upper 95% Intercept 10774.475 480.35578 22.4302 1.32E-14 9765.2849 11783.665 OperatingSpeed -13.3435 1.0545179 -12.6536 2.14E-10 -15.55896 -11.12804