Luke Ltd has scheduled a production of 200,000 feet of premium cedar lumber for June. The accountant provided the following analysis of total manufacturing costs for lumber based on Direct Labor Hours.

Variable Coefficient Standard Error t-Value

Constant 50,000 101.20 0.89 Independent variable (DLHr) 0.20 9.50 4.18

r2 = 0.78

What is the estimated cost of producing the 200,000 feet of lumber?

Question 5 options:

a)	$836,101.20

b)

$90,000

c)	None of these answers is correct.

d)	$50,000.20