The ABC Company believes that R 5: M cost is a semi-variable cost that needs to be split into separate fixed Fl. & M cost and variable R 8: M cost using simple regression analysis. They also believe that the variable R 5: M cost is a function of machine hours. The ABC Company collected data from the accounting records for the rst 8 months of 2016 which appears below: Mont MH R s M Cost h {X} (Y) 1 1'32 $36,375 2 1'35 33.000 3 1'35 41.750 4 1'30 42.350 5 2'035 55.030 5 2'30 43.100 7 3'30 59.000 3 2'75 55.300 0 Required: 1 Use the Regression Analysis excel add-in and print out your result. 2 Use the scatter diagram function (under insert) to nd the line of regression and R2. Print out the chart. 3 On your worksheet. "type-in" answers to the following 3 questions: A What is the simple regression equation? B What is the R2 and what does it show? C What is the forecasted total B & M cost for month 9 if 4,000 MH are predicted