United States Motors Incorporated (USMI) manufactures automobiles and light trucks and distributes them for sale to consumers through franchised retail outlets. As part of the franchise agreement, dealerships must provide monthly financial statements followii the USMI accounting procedures manual. USMI has developed the following financial profile ofan average dealership that sells 2,1E new vehicles annually: AVERAGE DEALERSHIP FINANCIAL PROFILE Composite Income Statement Sales $ 42,999,999 Cost of goods sold 34,656,666 Gross profit $ 7,356,666 Operating costs Variable 1,267,588 Mixed 3,234,999 Fixed 2,595,506 Operating income $ 312,966 USMI is considering a major expansion of its dealership network. The vice president of marketing has asked Jack Snyder, corporate controller, to develop some measure of the risk associated with the addition of these franchises. Jack estimates that 90% of the mixed costs shown are variable for purposes of this analysis. He also suggests performing regression analyses on the various components ofthe mixed costs to more definitively determine their variability. Required: 1. Calculate the composite dealership profit if 2,900 units are sold. 3. The regression equation that Jack Snyder developed to project annual sales ofa dealership has an Rsquared of 60% and a standard error of the estimate of $6,300,000. If the projected annual sales for a dealership total $39,900,000, determine the approximate 95% confidence interval for Jack's prediction of sales. (Hint: The 95% confidence interval uses 2 standard errors in determining the interval.) Required: 1. Calculate the composite dealership profit if 2,900 units are sold. 3. The regression equation that Jack Snyder developed to project annual sales ofa dealership has an Rsquared of 60% and a standard error of the estimate of $6,300,000. lfthe projected annual sales for a dealership total $39,900,000, determine the approximate 95% confidence interval for Jack's prediction of sales. (Hint: The 95% confidence interval uses 2 standard errors in determining the interval.) Complete this question by entering your answers in the tabs below. Required 1 Required 3 Calculate the composite dealership profit if 2,900 units are sold. E: Required 1 Required 3 The regression equation that Jack Snyder developed to project annual sales of a dealership has an Rsquared of 60% and a standard error of the estimate of $6,300,000. If the projected annual sales for a dealership total $39,900,000, determine the approximate 95% condence interval for Jack's prediction of sales. (Hint: The 95% confidence interval uses 2 standard errors in determining the interval.) Show less; IEI