ACCT 250
HOMEWORK CHAPTER 6B
059a73d36c66826db6c914ed71bfc5eb85bce284.xls
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P6-56
Plant
TPD
Cost
Commerce, CA
360
59,369
Hudson Falls, NY
400
77,013
Layton, UT
420
50,405
Oxford Township, NJ
450
75,779
Savannah, GA
500
87,439
Poughkeepsie, NY
506
57,463
Panama City, FL
510
60,730
Ronkonkoma, NY
518
84,457
Okahuma, FL
528
88,119
Spokane, WA
800
152,902
Arlington, VA
975
127,021
Camden, NJ
1,050
163,395
York, PA
1,344
139,302
Bridgeport, CT
2,250
344,852
Chester, PA
2,688
448,073
SUMMARY OUTPUT
Estimated cost for Babylon, NY
$112,906 K
Regression Statistics
The regression exhibits a high R-square value, high T-stat and low P-value
Multiple R
0.98
for the independent variable.
However, the SE measure is relatively high
R Square
0.95
given the cost estimate for the Babylon, NY project which raises some
Adjusted R Square
0.95
concern.
In looking at the scatter-graph, there is some concern that the
Standard Error
25458.32
data may not be linear, in which case linear regression may not be the best
Observations
15
approach to estimate future cost.
ANOVA
df
SS
MS
F
Significance F
Regression
1
###
###
267.11
0
Residual
13 8425640788.71
###
Total
14
###
Coefficients
Standard Error
t Stat
P-value
Lower 95%
Upper 95% Lower 95.0%Upper 95.0%
Intercept
-5225.26
10780.4
-0.48
0.64
-28514.9
18064.38
-28514.9
18064.38