Develop regression model to identify the fixed overhead cost

Assignment Help Basic Statistics
Reference no: EM13245322

The managing director of a consulting group has the following monthly data on total overhead costs and professional labor hours to bill to clients:

Total

Billable

$340,000

3,000

$400,000

4,000

$435,000

5,000

$477,000

6,000

$529,000

7,000

$587,000

8,000

Develop a regression model to identify the fixed overhead costs to the consulting group.

a. What is the constant component of the consultant group's overhead?

b. If a special job requiring 1,000 billable hours that would contribute a margin of $38,000 before overhead was available, would the job be attractive?

Reference no: EM13245322

Questions Cloud

What is the p-value for a sample : State the null and alternative hypotheses and what is the p-value for a sample of 180 undergraduate students with a sample mean credit card balance of $3325?
Explain the economic forces that give rise to the structure : Suppose that U.S.-based Qualcomm and European-based T-Mobile are contemplating infrastructure investments in a developing mobile telephone market. Qualcomm presently uses a code-division multiple access ( CDMA) technology
What is the temperature of the air : A sound wave has a frequency of 677 Hz in air and a wavelength of 0.50 m. What is the temperature of the air
Find the required tension for a wave in the string : Transverse waves travel at 23.3 m/s on a string that is under a tension of 7.00 N. What tension is required for a wave speed of 33.3 m/s in the string
Develop regression model to identify the fixed overhead cost : Develop a regression model to identify the fixed overhead costs to the consulting group and what is the constant component of the consultant group's overhead?
What is the average variable cost for the 5th unit of output : What is the relationship between the marginal cost and the average variable and average total costs You may fill in all the appropriate numbers and draw a graph with MC, TVC, AVC, TC, ATC, TFC, and AFC, if you wish.
Revolution affect americans'' expectations : How did the Revolution affect Americans' expectations regarding individual rights, social equality, and the role of women in American society?
Revolutionary ideas of western civilization : What are the main topics I should focus on with writing a paper on revolutionary ideas of western civilization during the 20th century.
Where will the price settle in the long run : 1. How do you know that the firm represented in the graph above is a purely competitive firm 2. To maximize profits, this firm will produce at what output level (one letter) 3. Explain why this MR=MC position is the profit-maximizing position for any..

Reviews

Write a Review

Basic Statistics Questions & Answers

  P value and classical approach

a. Solve using the p value approch. b. Solve using the classical approch.

  Information about probability problems based on z score

At a large university, 500 freshmen take their final exam for their marketing course. Scores are normally distributed with a mean 79 and standard deviation 7.

  Statistics-chi-square

In a test of the independence of two variables, one the variables has two possible categories and the other has three possible categories.

  Transportation and assignment models

Don Levine Corporation is considering adding an additional plant to its three existing facilities in Decatur, Minneapolis, and Carbondale. Both St. Louis and East St.Louis are being considered.

  Anova summary table-upper-tail critical value

Management at the Kansas City Corporate office for tax prepration wants to accomplish a business objective by conduting a study of the waiting time in its tax offices in different states.

  Confidence interval for the mean for all walkers

A study of 36 members of the Central Park Walkers showed that they could walk at an average rate of 2.6 miles per hour. The sample standard deviation is 0.4. Find the 95% confidence interval for the mean for all walkers.

  Choice of statistical method

Suppose that you're charged with comparing results of standardized tests from four different school districts. What statistical technique would you choose to use?

  Create confience interval for group leaders

Random sample of 85 group leaders, spent 6.5 years on job before being promoted standard deviation of sample was 1.7 years create 95 percent confience interval.

  Find mean nicotine content exceed a value

The FDA claims that the mean nicotine content exceeds 30.2 milligrams for this brand of cigarette and their stated reliability is 99%. Do you agree?

  Homogeneity of variance assumption test

How do we decide if the homogeneity of variance assumption is significantly violated?

  Calculate the variance of a binomial distribution

It is known that 60 percent of all registered voters in the 42nd congressional District are Republicans. There registered voters are selected at random from the district. Compute the probability that exactly 2 of the 3 selected are Republicans, u..

  Regression analysis and hypothesis testing

The lapping process, which is used to grind certain silicon wafers to the proper thickness, is acceptable only if 'sigma', the population standard deviation of the thickness of dice cut from the wafers, is at most 0.50 mil.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd