Gares formula C Solved: Comparison C High-Low Method Co C Method of trato ON CW210 eBooks Comparison of Regression Equations Friendly Bank is attempting to determine the cost behavior of its small business lending operations. One of the major activities is the application activity. Two poi activity drivers have been mentioned: application hours (number of hours to complete the application) and number of applications. The bank controller has accumulated the following data for the setup activity: Application Costs Application Hours Month Number of Applications February $7,700 70 March 7,650 2,000 2,100 3,000 SO April 50 10,052 9,400 May 2,700 60 June 9,584 3,000 20 July 8,480 2,500 40 August 8.550 2,400 60 September 50 9,735 10,500 2,900 3,000 October 90 Required: In the computations below, use intercepts rounded to the nearest whole number and use X variable coefficients rounded to 2 decimal places 1. Estimate a regression equation with application hours as the activity driver and the only independent variable. If the bank forecasts 2.600 application hours for the next month, what will be the budgeted application cost? Round your answer to the nearest dollar Previous Next > Check My Work All work saved. Save and EAR Submit Anment for Grace Labouch mann Londo Gleast squares formula C Solved Comparison Horgentham ACOT 351 DOOK C High-Low Method, Co. w 200m Schotthony ONE C Method Otant que CNOW TO eBook Required: In the computations below, use intercepts rounded to the nearest whole number and use X variable coefficients rounded to 2 decimal places. 1. Estimate a regression equation with application hours as the activity driver and the only independent variable. If the bank forecasts 2,600 application hours for the next month, what will be the budgeted application cost? Round your answer to the nearest dollar. 2. Estimate a regression equation with number of applications as the activity driver and the only independent variable, the bank forecasts 8o applications for the next month, what will be the budgeted application cost? Round your answer to the nearest dollar 3. Which of the two regression equations do you think does a better job of predicting application costs?