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The H.W. Grant Corporation used regression analysis to predict the annual cost of indirect materials. The results were as follows: Indirect Materials Cost Explained
The H.W. Grant Corporation used regression analysis to predict the annual cost of indirect materials. The results were as follows: Indirect Materials Cost Explained by Units Produced Constant Standard error of Y estimate 7 Number of observations X coefficient(s) Standard error of coefficient(s) What is the cost estimation equation? OY $11,820 + $10.25X OY $3,800+ $8.04X OY $15,620 + $10.25X OY $19,420 + $4.66X $15,620 $3,800 0.784,8 21 1025 2.2
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