MS_Excel_Linear_&amp;_Multiple_Regression

# MS_Excel_Linear_&amp;_Multiple_Regression - Linear...

This preview shows pages 1–5. Sign up to view the full content.

Linear Regression in Excel SIMPLE LINEAR REGRESSION EXAMPLE Butler’s Trucking Company is an independent trucking Company in southern California. A major portion of Butler’s business involves deliveries throughout its local area. To develop better work schedules, the managers want to estimate the total daily travel time for their drivers. Initially the managers believed that the total daily travel time would be closely related to the number of miles traveled in making the daily deliveries. A simple random sample of 10 driving assignments is provided in Table 1. Use Excel to make a scatter diagram of these deliveries (to verify that a linear relationship does exist) and develop a regression equation expressing this relationship. Table 1 Driving Assignment X 1 =Miles Traveled Y=Travel Time (hrs.) 1 100 9.3 2 50 4.8 3 100 8.9 4 100 6.5 5 50 4.2 6 80 6.2 7 75 7.4 8 65 6.0 9 90 7.6 10 90 6.1 Excel Instructions for Drawing a Scatter Plot 1. Enter the above information in the Excel spreadsheet as shown in Figure 1 below. 2. Click on Insert on the toolbar and then click on the C hart tab. The Chart Wizard will appear. In step 1 on select the XY (scatter) chart type (Figure 2), then click next. 3. Your numerical data is contained in cells A2 through B11. So in step two enter your data range as shown in Figure 3, and click next. 4. In steps 3 you can give your chart a title and label your axes. In step 4 specify where you want the chart to be placed. The finished chart is shown in Figure 4. 5. After verifying that a linear trend does exist, determine the least squared regression equation.

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
Figure 1 Figure 2
Figure 3 Figure 4 Butler Trucking Example 0 2 4 6 8 10 0 50 100 150 Miles Traveled Travel Time

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
Excel Instructions for Regression Analysis 1.
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### What students are saying

• As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

Kiran Temple University Fox School of Business ‘17, Course Hero Intern

• I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

Dana University of Pennsylvania ‘17, Course Hero Intern

• The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

Jill Tulane University ‘16, Course Hero Intern