Thane Company is interested in establishing the relationship between electricity costs and machine hours. Data have been collected and a regression analysis prepared using Excel. The monthly data and the regression output follow:

Month	Machine Hours	Electricity Costs
January	3,300	$	18,800
February	3,700	$	21,800
March	2,700	$	13,900
April	3,900	$	23,800
May	5,200	$	28,650
June	4,100	$	22,800
July	5,100	$	25,150
August	4,300	$	23,150
September	2,800	$	16,300
October	4,500	$	26,800
November	6,200	$	31,800
December	5,700	$	28,150

Summary Output
Regression Statistics
Multiple R	0.957
R Square	0.916
Adjusted R2	0.908
Standard Error	1,584.49
Observations	12.00

	Coefficients	Standard Error	t Stat	P-value	Lower 95%	Upper 95%
Intercept	3,998.65	1,911.17	2.09	0.06	(259.71)	8,257.01
Machine Hours	4.53	0.43	10.47	0.00	3.56	5.49

The correlation coefficient for the regression equation for electricity costs is:

Multiple Choice

• 0.957.

• 0.916.

• 0.908.

• 0.966.