Question

The owner of a moving company typically has his most experienced manager predict the total number of labor hours that will be required to complete an upcoming move. This approach has proved useful in the past, but the owner has the business objective of developing a more accurate method of predicting labor hours. In a preliminary effort to provide a more accurate method, the owner has decided to use the number of cubic feet moved and the number of pieces of large furniture as the independent variables and has collected data for 36 moves in which the origin and destination were within the borough of Manhattan in New York City and the travel time was an insignificant portion of the hours worked.

Hours	Feet	Large	Elevator
24.00	545	3	Yes
13.50	400	2	Yes
26.25	562	2	No
25.00	540	2	No
9.00	220	1	Yes
20.00	344	3	Yes
22.00	569	2	Yes
11.25	340	1	Yes
50.00	900	6	Yes
12.00	285	1	Yes
38.75	865	4	Yes
40.00	831	4	Yes
19.50	344	3	Yes
18.00	360	2	Yes
28.00	750	3	Yes
27.00	650	2	Yes
21.00	415	2	No
15.00	275	2	Yes
25.00	557	2	Yes
45.00	1028	5	Yes
29.00	793	4	Yes
21.00	523	3	Yes
22.00	564	3	Yes
16.50	312	2	Yes
37.00	757	3	No
32.00	600	3	No
34.00	796	3	Yes
25.00	577	3	Yes
31.00	500	4	Yes
24.00	695	3	Yes
40.00	1054	4	Yes
27.00	486	3	Yes
18.00	442	2	Yes
62.50	1249	5	No
53.75	995	6	Yes
79.50	1397	7	No

a.) State the multiple regression equation and interpret the meaning of the slopes in this equation.

b.) Predict the mean labor hours for moving 500 cubic feet with two large pieces of furniture.

c.) Determine whether there is a significant relationship between labor hours and the two independent variables at the 0.05 level of significance? Explain.

d.) At the 0.05 level of significance, determine whether each independent variable makes a significant contribution to the regression model. Explain.

e.) Construct a 95% confidence interval estimate of the population slope between labor hours and the number of cubic feet moved.

f.) What conclusions can you reach concerning labor hours?

Answer 1