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Author Question: Sisler Company would like to estimate its total manufacturing costs using regression analysis ... (Read 80 times)

FButt

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on: Jan 5, 2020
Sisler Company would like to estimate its total manufacturing costs using regression analysis but
unsure whether machine hours or units produced would be a better predictor of total manufacturing
costs.

Output from regression analysis using machine hours as the volume (cost driver) follows.
(Note: the results are excerpts so not all of the regression analysis results are presented.)



Output from a regression analysis using units produced as the volume (cost driver) follows.
(Again, the results are excerpts so not all of the regression analysis results are presented.)



Required:
1.  What is the cost equation if machine hours is used as the volume (cost driver)?
2.  Predict total manufacturing costs using machine hours as the volume (cost driver) if Sisler
Company uses 18,000 hours.
3.  What is the cost equation if units produced is used as the volume (cost driver)?
4.  Predict total manufacturing costs using units produced as the volume (cost driver) if Sisler
Company produces 65,000 units.
5.   Which volume (cost driver) is a better predictor of total manufacturing costs?  Why?
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Marked as best answer by FButt on Jan 5, 2020

ally

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Reply #1 on: Jan 5, 2020
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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FButt

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Reply 2 on: Jan 5, 2020
Gracias!

LVPMS

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Reply 3 on: Yesterday
Excellent

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