Question
Lacourse Incorporated's inspection costs are listed below: Units Produced Inspection Costs January 425 $ 6,120 February 375 $ 5,634 March 444 $ 6,335 April 459
Lacourse Incorporated's inspection costs are listed below:
Units Produced Inspection Costs January 425 $ 6,120 February 375 $ 5,634 March 444 $ 6,335 April 459 $ 6,473 May 401 $ 5,884 June 376 $ 5,637 July 451 $ 6,400 August 402 $ 5,897
Management believes that inspection cost is a mixed cost that depends on units produced.
Using the least-squares regression method, the estimate of the variable component of inspection cost per unit produced is closest to:
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Operations And Supply Chain Management
Authors: F. Robert Jacobs, Richard Chase
14th Edition
978-0077824921, 78024021, 9780077823344, 007782492X, 77823346, 978-0078024023
