Data set COMNOD shows the cost of installing a sample of communications nodes fo
ID: 3053830 • Letter: D
Question
Data set COMNOD shows the cost of installing a sample of communications nodes for a large manufacturing firm whose headquarters is based in Fort Worth, Texas, with branches throughout the United States. The number of access ports at each of the samples nodes is also shown. The administrator of the network wants to develop an equation that is helpful in pricing the installation of new communications odes on the network. 2. Attached is a scatter plot obtained from Minitab and regression analysis output. Please answer the following questions by using the plot and the output. a. Describe the relationship between the two variables from the aspects of form, direction and strength. b. What is the estimated regression equation for predicting total cost? c. What is the fixed cost involved in the production process? What is the standard error for the fixed cost? d. What is the variable cost involved in the production process? What is the standard error for the variable cost? e. What is the value of the standard error?Explanation / Answer
Question 1
(a) Here as we see the scatter plot, we see a regression line is closely fitted with the regression line, so, we can say that the relationship between number of ports with the cost of installations is linear, direction positive and strength very good.
(b) Here the regression line is
y^ (Cost of installations) = 16594 + 650.2x (Number of ports)
(c) Here fixed cost involved in the process is $ 16594 with an standard error equals to $ 2687
(d) Here variable cost in the process is $ 650.2 per number of ports. Here standard error of variable cost is equals to $ 46.90
(e) Here value of standard error equals to $ 4306.91
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.