Palisades Eco-Park is a small ecological reserve that admits a relatively small number of visitors on any day, but provides both educational and entertaining lectures, exhibitions, and opportunities to observe nature. The company has collected the following data on labor costs and number of visitors to the park over the last 30 months.

Month	Labor Cost		Visitors
1	$	26,820	2,700
2	$	37,696	4,117
3	$	41,516	4,464
4	$	32,873	3,529
5	$	36,157	3,769
6	$	33,938	3,465
7	$	33,263	3,502
8	$	39,819	4,250
9	$	40,062	4,384
10	$	48,750	5,673
11	$	43,790	4,726
12	$	40,541	4,454
13	$	35,778	3,836
14	$	34,458	3,710
15	$	38,403	3,983
16	$	27,526	3,334
17	$	31,851	5,395
18	$	31,121	4,424
19	$	28,659	3,831
20	$	31,165	4,721
21	$	26,687	3,176
22	$	25,610	2,850
23	$	30,011	5,189
24	$	31,321	6,063
25	$	29,208	4,117
26	$	32,917	5,200
27	$	29,761	4,748
28	$	31,086	4,844
29	$	29,540	3,989
30	$	28,954	3,296

Required:

a. Estimate the labor costs assuming 3,500 visitors for the month using the results of a simple regression based on the 30 months of available data. b. What percentage of the variance in the data does the R-squared value explain? c. You learn that starting in month 16, the park started using a different, more automated system for interacting with visitors. Estimate the labor cost assuming 3,500 visitors using the results of a simple regression based on the data for months 16 through 30 only. d. What percentage of the variance in the data does the R-squared value explain?

• Req A and B
• Req C and D

a. Estimate the labor costs assuming 3,500 visitors for the month using the results of a simple regression based on the 30 months of available data. (Do not round intermediate calculations. Round your final answer to 2 decimal places.) b. What percentage of the variance in the data does the R-squared value explain?

a.	Labor cost
b.	The R-squared value suggests that the number of visitors only explains						about 20% of the variance in the data.

c. You learn that starting in month 16, the park started using a different, more automated system for interacting with visitors. Estimate the labor cost assuming 3,500 visitors using the results of a simple regression based on the data for months 16 through 30 only. (Do not round intermediate calculations and round your final answer to 2 decimal places.) d. What percentage of the variance in the data does the R-squared value explain?

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c.	Labor cost
d.	The R-squared value suggests that the number of visitors only explains						about 80% of the variance in the data.