Question

Required information The following information applies to the questions displayed below.] Archer Company is a wholesaler of custom-built air-conditioning units for commercial buildings. It gathered the following monthly data relating to units shipped and total shipping expense: Units Shipped Month January February March Total Shipping Expense $ 1,800 $ 2,300 $1,700 $ 2,000 $ 2,300 $ 2,700 $1,200 April May June July 4. What factors, other than the number of units shipped, are likely to affect the company's shipping expense? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect)

Answer 1

6 As the data is ginen for sreher Company The other factors, other than the number of units shipped, are likely to affect the company's shipping expense are a 11 weight of the units shipped w i Distance travelled. dio Sales commissions in Trade discounts ginen to repeat customers (V) Express slipping to meet a deadline. V 2. The ginen data are I units ai Total Etching cast (yi)" Xo Yi week 2 18 7 2 16 + 17 5 M 09 1 6 4 - Nt aoo 25 0 120 36 20 49 168 24 A 04 16 g 2 30 E = $120 <= 643 = 643 E= 178

Let the model is y = a + bx Normal equations are Eyi = na + b Emi Enid = arx; & b Eng2 putting the nalues from table, we get 120 - 6a + b.30 - ② 643 = 30a & 178b - ④ in ear multiply by s, we get 1sob 600 = 309 + eqn @ - eqn © 43 = – 28b or – 01-54 b = – 43 28 b= – 1.54 in put eq ②, we get 120 + 46.2 166.2 a = 20 2707

and b in ean ④ Thus, put these value il; a we get Iy= 27.7 - 1.54 x which is exequired least squase estimates. Etching cost per week is y = 27.7 - 1.54 x1 = = 27.7 – 1.54 y = 26.167 etching cost pes neck Thus, is $26016. ( at x=5 - => y = 27.7 – 1.5485 y = 27.7 – 7.7 y = 207 processes The total etching cost when company fine unit in a week is $20.