The College of Business at Northeast College is accumulating data as a first step in the preparation of next year's budget development. One cost that is being looked at closely is administrative costs as a function of student credit hours. Data on administrative costs and credit hours for the past thirteen months are shown below:

Month	Administrative Costs				Credit Hours
July		$	130,101		1,050
August			83,253		531
September			226,060		1,808
October			216,714		1,416
November			258,423		1,725
December			185,249		1,528
January			219,777		1,755
February			245,480		1,789
March			209,782		1,480
April			192,085		1,539
May			250,778		1,776
June			171,058		836
July			128,647		731
Total		$	2,517,407		17,964
Average		$	193,647		1,382

The controller's office has analyzed the data and has given you the results from the regression analysis:

SUMMARY OUTPUT
Regression Statistics
Multiple R	0.9193606
R Square	0.845223969
Adjusted R Square	0.831153421
Standard Error	21,777.39471
Observations	13

ANOVA
	df	SS	MS	F	Significance F
Regression	1	28,488,699,806	28,488,699,806	-60.0704359	8.81711E-06
Residual	11	5,216,804,122	474,254,920.2
Total	12	33,705,503,929

	Coefficients	Standard Error	t Stat	P-value	Lower 95%	Upper 95%	Lower 95.0%	Upper 95.0%
Intercept	42,213.93270	20,450.69707	2.06418063	0.063406517	-2,797.74806	87,225.6135	-2,797.74806	87,225.6135
X Variable 1	109.5872787	14.13935996	7.750511980	8.81711E-06	78.46675728	140.707800	78.46675728	140.707800

The correlation coefficient (rounded to the 3^rd decimal) for the regression equation for administrative costs is:

Multiple Choice

• 0.919.

• 0.855.

• 0.843.

• 0.953.