Month	Machine hours (hrs)	Maintenance cost($)
1	1,330	102,393
2	1,400	103,393
3	1,500	108,393
4	1,470	108, 393
5	1,620	116, 393
6	1,690	115, 393
7	1,490	107, 393
8	1,310	102, 393
9	1,450	106, 393
10	1,580	113, 393
11	1,300	100, 393
12	1,600	113, 393
13	1,650	114, 393
14	1,440	109, 393
15	1,340	102, 393
16	1,670	114, 393
17	1,480	106, 393
18	1,360	103, 393
19	1,340	103, 393
20	1,540	112,393

Assume that the following relationship holds:

Maintenance Costs = a + (b * Machine Hours)

REQUIRED

Estimate the values of a and b, using,

the High-Low Method, and

the Linear Regression method.

Note, to use the linear regression method, you MUST use the Microsoft Excel program. Please follow the instructions on P.331 of the textbook; DIRECTIONS FOR ADD-Ins: Data Analysis Toolpak.

*********Make sure to report

the values of a and b;

a scatter plot of the data points, and

the adjusted R-square

YOUR SUBMISSION MUST BE IN EXCEL. ONE WORKBOOK, WITH A WORKSHEET FOR EACH ANALYSIS (i.e., High-Low Method and Regression Analysis respectively). The regression analysis must include the output from the Analysis Datapak.