Odessa, Inc., manufactures one model of computer desk. The following data are available regarding units shipped and total shipping costs:

Month	Number of Units Shipped	Total Shipping Cost
January	75	$	3,250
February	60		2,300
March	40		1,700
April	20		1,200
May	70		2,300
June	80		2,700
July	50		2,000

Required:
1.	Prepare a scattergraph of Odessas shipping cost and draw the line you believe best fits the data.

Instructions:

1.	Use the point tool (7 points) to plot each Units Shipped / Total cost combination.
2.	To enter exact coordinates, double click on the point and enter the values for each Units Shipped and Total Cost.
3.	Use the line tool provided to plot an approximate regression line for this data. Be sure to start your line from the vertical axis.

3.	Using the high-low method, calculate Odessas total fixed shipping costs and variable shipping cost per unit.
	Fixed= Variable=

4.	Perform a least-squares regression analysis on Odessas data. (Use Microsoft Excel or a statistical package to find the coefficients using least-squares regression. Round your answers to 3decimal places.)
	Intercept= # of Units Shipped=

5.	Using the regression output, create a linear equation (y = a + bx ) for estimating Odessas shipping costs. (Use Microsoft Excel or a statistical package to find the coefficients using least-squares regression. Round your answers to 3 decimal places.)

Total Shipping cost=______+________ # of Units shipped