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The managerial accountant at Organic Beverage Factory used spreadsheet software to run a regression analysis scenario and compile the following monthly cost data: Organic Beverage
The managerial accountant at Organic Beverage Factory used spreadsheet software to run a regression analysis scenario and compile the following monthly cost data: Organic Beverage Factory Intercept coefficient X Variable 1 Coefficient R-square $4,286,652 $28.21 0.6521 Based on the results of the regression analysis compiled by the managerial accountant, what does the R-square indicate? O A. Management should use the cost equation with caution. O B. Management ignores the R-square in regression analysis. O c. Management can rely on the cost equation because the R-square is above 50% OD. Management can always rely upon cost equations prepared using linear regression analysis
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