Requirement 1. Determine the firm's cost equation (use the output from the Excel regression). (Enter amounts to two decimal places.) y= Requirement 2. Determine the R-squared (use the output from the Excel regression). The R-squared is (1) What does Flower Power's R-squared indicate? The R-squared indicates that the cost equation explains (2) . of the variability in the data. In other words, it (3) Flower Power (4 . feel confident using this cost equation to predict total costs at other volumes within the same relevant range. The operating costs at a volume of 15,500 miles is Should the company rely on this cost estimate? Why or why not? Since the R-squared is (5) , the company (6) 1: Regression analysis 2: Requirements 1. Determine the firm's cost equation (use the output from the Excel regression). 2. Determine the R-squared (use the output from the Excel regression). What does Flower Power's R-squared indicate? (1) 0.100.06 (2) 6%71% 10% (3) fits the data quite well. (4) may or may not (5) between .50 and .80 over 80 does not fit the data at all. 0.71 (6) should use the cost equation with caution. less than .50 can rely on this cost estimate. should not rely on this cost estimate