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XYZ Company's accountant is estimating next period's total overhead costs (Y). She performed three regression analyses, the first is based on direct labor hours (DLH).

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XYZ Company's accountant is estimating next period's total overhead costs (Y). She performed three regression analyses, the first is based on direct labor hours (DLH). the second is based on machine hours (Mhr), and the third is based on quantity produced (Q). The results were: [Y=$150.000 + $10xDLH: R- square = 0.95); [Y= $190,000 + S5xMhr: R-square = 0.11): [Y-200,000+20 R-square=0.52). Based on this Pinformation, which cost driver do you recommend a. Quantity produced ( CO b. All cost drivers are the same c. Direct labor hours (DLH) O d. None of them e. Machine hours (Mhr)

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