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To answer the following questions, it will be necessary to perform TWO separate regressions, being: (1) Number of Pizzas (X) and Production Costs (Y) (2)
To answer the following questions, it will be necessary to perform TWO separate regressions, being: (1) Number of Pizzas (X) and Production Costs (Y) (2) Number of Pizzas (X) and Total Costs (Y) with Distribution Costs being the difference between Total Costs and Production costs). For UNIT COST answers your answer should include 4 decimal places. Eg. Slope being variable cost to be entered as 3.0252 For TOTAL COST answers, actual dollar amounts, decimal places can be ignored. Eg. Intercept being fixed cost to be entered as 61,256 even though the answer is displayed as 61,256.4267. It is possible to round up if the decimals exceed 0.5. Eg. Total Cost being 61,256.43 + 3.0252(24,000) = 133861.23 Answer to submit = 133861 All answers are to be calculated in Excel and then copied into the Canvas LMS: C11: For Regression 1: [Number of Pizzas (X) and PRODUCTION Costs (Y)] what is C12. C13: C14: C15: C15: Using the Charting facility in Excel, graphically represent the various cost data series. Use copy and paste to submit in Canvas. If that does not work, take a picture, and copy it into Canvas. Coefficient of correlation Coefficient of determination Slope (Variable Cost) Intercept (Fixed Cost) Standard Error For Regression 2: [Number of Pizzas (X) and TOTAL Costs (Y)] what is: C17: C18: C19: C110: C111: Using the information above from the above TWO regressions what is: C112: C113: C114: C115: C116: Coefcient of correlation Coefcient of determination Slope (Variable Cost) Intercept (Fixed Cost) Standard Error Slope for DISTRIBUTION costs Intercept for DISTRIBUTION costs. What is the TOTAL COST of producing 22,500 pizzas? What is the PRODUCTION COST for 24,000 pizzas? What is the DISTRIBUTION COSTS for 24,500 pizzas? (3 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (1 marks) (2 marks) (2 marks) (2 marks) The management of Martin's Pizza Home Delivery division wants to develop a system that can be utilised in generating more accurate predictions of production and distribution costs to enhance the company's planning of operations and its financial needs. A trade association journal reports that certain production costs tend to vary with the number of pizzas produced while delivery costs although comprising mainly variable costs do contain some fixed costs as well. To enhance their cost prediction and control systems management has gathered monthly data on pizzas produced and sold and production costs for the for the past two years for its 20 restaurants. Operational data for the last 24 months is as follows: No. of Production Total Month Pizzas Costs Costs 1 12,000 $101,250 $115,000 10,000 $96,750 $110,000 14,000 $105,750 $126,700 IGUA W N 12,000 $103,500 $120,750 13,000 $106,500 $126,700 15,000 $106,500 $125,500 16,000 $107,250 $129,500 17,000 $108,750 $132,250 18,000 $112,500 $135,000 10 15,000 $110,250 $130,650 11 17,000 $112,500 $133,000 12 23,000 $135,000 $162,000 13 19,000 $113,250 $136,500 14 20,000 $122,250 $150,000 15 19,000 $117,000 $140,500 16 18,00 $114,750 $146,200 17 20,000 $120,000 $139,600 18 21,000 $129,000 $153,750 19 22,000 $134,250 $164,000 20 20,000 $126,000 $153,000 21 23,000 $139,500 $171,000 22 22,000 $130,500 $162,000 23 24,000 $139,500 $163,000 24 25,000 $148,500 $180,000 There have been no significant structural changes in operations over the past two years. Total Costs = Production Costs + Distribution Costs Company profits taxed at a flat rate of 30%
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