Fit three possible statistical cost functions to the data

Reference no: EM13238949

You have been presented with the following cost data and asked to fit a statistical cost function
Quantity Total Cost
10 104
20 107
30 109
40 111.5
50 114.5
60 118
70 123
80 128.5
90 137
100 150

1. Fit three possible statistical cost functions to the data. Use straight-line, quadratic, and cubic formulas.

2. Discuss the statistical results you obtained in question 1. Include in your discussion R2 , the coefficients, and the statistical significance of the coefficients. For the statistical significance test, use the p-test rather than the t-test. If you decide to use the t-test, you first have to find the degrees of freedom and then find the appropriate critical t-value.

3. If the data represent 10 months of production for one plant of a specific company, would you consider this to be a short-run analysis?

4. How would your answer to question 3 change if you were told that the data represent 10 different plants during a particular month of the year?

Reference no: EM13238949

Questions Cloud

What is the launch speed of the proton : Two 1.5cm -diameter disks face each other, 2.0mm apar, What launch speed must the proton have to just barely reach the positive disk

Theoretical value can be evaluated from the atomic weights : The theoretical value can be computed from the atomic weights of the atoms involved. How

When foreign investors start investing in the country : The PPF curve shows the economic choices a country can make about production given scarce resources, a given technology, and a given quantity of inputs. Assume you are a developing country, producing food and clothing at maximum capacity.

Describe what is the molarity of a solution : What is the molarity of a solution when 38.8g of potassium chromate (K2CrO4 ) is dissolved in enough water to make 3 liters of solution

Fit three possible statistical cost functions to the data : Discuss the statistical results you obtained in question 1. Include in your discussion R2 , the coefficients, and the statistical significance of the coefficients. For the statistical significance test, use the p-test rather than the t-test.

What is the force constant k of the spring : A block is attached to a ceiling by a spring of force constant k. When pulled down and released, what is the force constant k of the spring

Explain compounds has the highest boiling point : the following compounds has the highest boiling point and which has the lowerst boiling point? explain your answer. a- CH3OCH3 b- CH3COOH c- CH3CH2CH3

Derive the formula for the income elasticity of money : If the Central Bank in uenced the nominal rate in such a way as to make the Quantity Theory of Money hold true (to your answer in the previous section), then what level of i (as a percentage) would they target

Policy of destalinization : The Soviet Union%u2019s new privileged class included all of the following except. Nikita Khrushchev was probably best known for his policy of destalinization.

User Account

All Pages