A company has regression results on the regression run between total costs and number of units:
Intercept 278.066189
R-squared 0.993132
Number of observations 6
X coefficient 0.070092
The regression output was based on the following data:
Month Number of units total Costs
July 19,200 $ 1,615
August 21,950 1,845
September 25,700 2,070
October 25,200 2,050
November 23,900 1,945
December 20,750 1,725
Based on the regression output obtained by the controller, what cost formula should be used to estimate future total costs for the company? Enter answer as an equation in the form of y = a + bx.
Note: Round your fixed costs to 2 decimal places and your variable cost per unit to 3 decimal places.
Total cost = $ + $ (Number of units)
If 23,300 copies are made during January, what is the total cost predicted?
Note: Use the answers that you provided in parts 3 and 5-b and round your final answers to 2 decimal places.