Regression Statistics
Homework #2Accounting 310A. Regression StatisticsMultiple R0.112799317R Square0.012723686Adjusted R Square-0.022536183Standard Error11114.81733Observations30 CoefficientsStandard Errort StatP-valueIntercept150410.681814812.5085210.154301796.85675E-11Labor Hours4.5659715637.6009360290.6007117470.552863953[pic 1][pic 2][pic 3]B. There is no graph that shows a definite trend. But Raw materials and machine hours have a better graph than labor hours. Labor hours have the lowest trend comparing it to machine and raw material so we will go ahead and eliminate it.
C. Creating a scatter plot of the data first is important because it helps us determine whether or not we should study the analysis of it or not. In addition, the scatter plot helps us determine if we have any outliers or non-linear relationship. D. Labor Hours CoefficientsStandard Errort StatP-valueIntercept150410.681814812.5085210.154301796.85675E-11Labor Hours4.5659715637.6009360290.6007117470.552863953Machine Hours CoefficientsStandard Errort StatP-valueIntercept117598.667410291.4780311.42680064.68455E-12Machine Hours38.21719249.3315807774.0954682080.000325139