ion) eBook Calculator High-Low Method, Method of Least Squares, Correlation Big Mike's, a large hardware store, has gathered data on its overhead activities and associated costs for the past 10 months. Nizam Sanjay, a member of the controller's department, believes that overhead activities and costs should be classified into groups that have the same driver. He has decided that unloading incoming goods, counting goods, and inspecting goods can be grouped together as a more general receiving activity, since these three activities are all driven by the number of receiving orders. The 10 months of data shown below have been gathered for the receiving activity. Month Receiving Orders Receiving Cost 1 1,000 $12,170 2 1,340 12,940 3 1,150 13,750 900 9,930 5 1,350 15,070 6 1,400 14,145 7 1,600 16,640 8 1,490 14,800 9 1,800 17,940 10 1,700 15,000 Required: Check My Work Previous Next All work saved. Email Instructor Save and Exit Submit Assignment for Gradin mtion) eBook Calculator Cost $18,000 $16,000 $14,000 $12000 $10,000 $8,000 $6,000 $4,000 $2.000 $0 0 Cost $18,000 $16,000 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2.000 $0 2,000 0 2,000 500 1,000 1,500 Number of Receiving Orders 500 1,000 1,500 Number of Receiving Orders d. Cost $20,000 $18,000 $16,000 $14,000 $12,000 $10.000 $8,000 $6,000 $4,000 $2,000 $0 0 Cost $20,000 $18,000 $16,000 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2.000 $0 0 500 1.000 1.500 2000 500 1.000 1.500 2.000 Check My Work Previous All work saved. Email Instructor Save and Exit Submit Assignment $6,000 $4,000 $2,000 $0 0 $6000 $4,000 $2.000 $0 0 2,000 500 2,000 1,000 1,500 Number of Receiving Orders 500 1,000 1,500 Number of Receiving Orders The correct answer is 2. Select two points (1 and 8) that make the best fit, and compute a cost formula for receiving costs. Round intermediate calculations to the nearest cent. Round the intercept to the nearest dollar and round the slope to the nearest cent. Y + 3. Using the high-low method, prepare a cost formula for the receiving activity. Round the intercept to the nearest dollar and round the slope to the nearest cent. Y - + 4. Using the method of least squares, prepare a cost formula for the receiving activity. Round the intercept to the nearest dollar and round the slope to the nearest cent. Y - + X What is the coefficient of determination? Round your answer to two decimal places. Adjusted R2 - Check My Work Previous Next > All work saved. Email Instructor Save and Exit Submit Assignment for Grading