Run a regression on Excel 1 How much is the fixed cost of labor per month? #2 How much is the variable rate per delivery? #3 What would the cost formula be to use to predict future delivery cost? #4 Using that cost formula, calculate the budgeted cost for next month, assuming that 305 deliveries are expected

Exercise 3-56 (Appendix 3A) Method of Least Squares Using Computer Spreadsheet Program Susan Lewis, owner of a florist shop, is interested in predicting the cost of delivering floral ar- rangements. She collected monthly data on the number of deliveries and the total monthly de- livery cost (depreciation on the van, wages of the driver, and fuel) for the past year. Month Number of Deliveries Delivery Cost January February March April May June July August September October November December 180 550 85 115 160 590 500 520 100 200 260 450 $1,200 1,800 1,100 1,050 1,190 1,980 1,800 1,700 1,100 1,275 1,400 1780 Required: 1. Using a computer spreadsheet program such as Excel, run a regression on these data. Print