Explain regression equation relating expected travel, Operation Management

Assignment Help:

Accountants at the firm Walker and Walker believed that several traveling executives submit unusually high travel vouchers when they return from business trips. The accountants took a sample of 200 vouchers submitted from the past year; they then developed the following multiple regression equation relating expected travel cost (Y) to number of days on the road (X1) and distance traveled (x2) in miles:

YN = $90.00 + $48.50X1 + $0.40X2

The coefficient of correlation computed was 0.68.


(a) If Thomas Williams returns from a 300-mile trip that took him out of town for five days, what is the expected amount that he should claim as expenses?

(b) Williams submitted a reimbursement request for $685; what should the accountant do?

(c) Comment on the validity of this model. Should any other variables be included? Which ones? Why?


Related Discussions:- Explain regression equation relating expected travel

What options are open to coral to address this issue, Read Space Age Furnit...

Read Space Age Furniture Company in Chapter 9 of your text. Answer the following seven questions: (Include any MRP calculations). • What options are open to Coral to address th

Explain products and convincing local customers, You are the Customer Servi...

You are the Customer Service Manager for a US manufacturer and have fielded a phone call from the Japanese Distributor of your products in Japan. She informs you that a major local

Explain tool like this one help identify the target market, Complete the fo...

Complete the following steps for this assignment: 1. Select the following link to visit a Web site that is an online demographic tool used to help establish demographics about c

Explain processing time per claim, Medical Solutions, Inc. has the followin...

Medical Solutions, Inc. has the following claims it must complete in the next week (40 hours). The jobs are as follows: Claim Type Number of Claims to Process Setup (Changeover) Ti

Explain the costs of the new systems that may be implemented, What are the ...

What are the costs of the new systems that may be implemented? How do we justify their implementation at Can Go?

Define the coordinate of potential sites for hospital, Suppose a new hospit...

Suppose a new hospital is to be built to provide emergenct medical healthcare service to 5 town w coordinates (5,6), (1,3), 13,7), (11,2), (18,1) on a map. The exisiting transporta

Explain level refers to what, in the context of motivation; level refers to...

in the context of motivation; level refers to----------- 1.an individual choice when present with a number alternatives/2.the consequences of an individual behaviour/3.the amount o

Control charts for attributes - statistical process control, Control Charts...

Control Charts for Attributes - Statistical Process Control Attribute data assume only two values, such as pass/fail or good/bad: they are counted rather than measured. Many q

Explain how they demonstrate their leadership characteristic, Provide two e...

Provide two examples of current leaders and describe how they demonstrate their leadership characteristic. What separate these characteristics from management techniques? How effec

Write Your Message!

Captcha
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