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The F–test
The significance of the regression results can be tested by using the F- statistics. The F-statistics is a ratio which compares the explained sum of squares and the unexplained sum of squares.Therefore, F = mean sum of squares due to regression Mean sum of squares due to residualFor calculation purposes:F = r2 /K (1 – r2)/n-k-1F statistics can then be used to test the hypothesis that the relationship between the dependent variables and all the independent variables is not significant.
Significance points of Variance The following significant points must be kept in mind: Controllability: Controllability should also influence the decision whether t
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SK 2 Chapter 10: Master budgeting Objective How organisations strive to achieve their financial goals by preparing a number of budgets that together form an integrated business pla
The Rohr Company’s old equipment for making subassemblies is worn out. The company is considering two courses of action: (a) Completely replacing the old equipment with new equipme
calculate formula
full explaination with diagram
In 2007, the controller of the XYZ Company discovered that 2006 depreciation expense was overstated by $50,000, a material amount. Assuming an income tax rate of 40 percent, the pr
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What are the Changing role of management accounting 1. Focus on customer scarification: customer satisfactions are continuously gaining high priority in management thinking i
Graphic method of break even analysis or break even chart The break even point can also be computed graphically. A break even chart is a graphical representation of marginal co
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