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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.
Z or t Statistics If n ≥30 we use Z, if, n Ho: B = O that is, there is no relationship between X and Y HA: B≠ O There is a significant relationship between X and Y The l
Cost driver analysis Cost drivers are factors, which determine the costs of an activity i.e. a change in the cost driver will cause a change in the level of total cost relate
Willco Inc. manufactures electronic parts. They are analyzing their monthly maintenance costs to determine the best way to budget these costs in the future. They have collected the
What is Activity ratio Funds are invested in several assets in business to make sales and earn profits. The efficiency with which assets are managed directly affects the volume
What have to Focus on Traditional standard costing In traditional cost systems focus is to meet standard cost measurement by avoiding unfavorable variances. Under kaizen coat
Suppose the spot price of gold is $1700 per ounce. The futures price for delivery in six months is $1712, while the futures price for delivery in one year is $1720. The interest ra
Introduction to Performance Evaluation Performance evaluation deals with the area of MA that is concerned with: 1) Holding individual managers responsible for certain aspect
identify and explain the many classification of costs for planning, control.performance evaluation and decision making.
Advantages and Disadvantages
dentify and explain the many classsification of cost for planning,control,performance evaluation and decision making
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