Waveney DIY Centers $($WDC$)$ operates a few dozen stores in the eastern United States. The stores

are popular with home remodelers, contractors, and do$-$it$-$yourself customers. The managers at

Waveney are interested in understanding what drives costs as well as getting better cost estimates

when planning new stores. The area manager for the Southeast Region is interested in new data

analysis approaches to management and offered to run a test using data from the $14$ stores in the

region.

The initial thoughts of the managers and the financial analysts in the region were that two primary

factors drove store costs: store area $($square footage$)$ and revenue. The following data were

collected from the most recent year of operations $($revenues and costs in thousands of dollars$).$