Purchase Solution

MCA Computing Least Squares Regression Estimates

Not what you're looking for?

Ask Custom Question

MCA handles several daily commuter flights. The budget officer compiled the following data regarding airport costs and activity over the past years:
Month Flights originating at MCA (000) Airport cost
January....................................11...................................................20.00
February......................................8...................................................17.00
March.........................................14................................................19.00
April...........................................9........................................................18.00
May............................................10................................................19.00
June..................................................12...............................................20.00
July................................................11...................................................18.00
August...........................................14.................................................24.00
September.....................................10...............................................19.00
October.........................................12............................................21.00
November..........................................9............................................17.00
December.....................................15...................................................21

1. Draw a scatter diagram of the airport costs
2.Compute the least spuares regression estimates of the variable and fixed cost components in the airport cost behavior pattern.
3.Write the least squares regression equation for the airport costs
4. Predict the airport costs during a month when 1,600 flights originate at the airport
5. Compute the coeficient of determination for the regression equation . Ineterpret R2

Purchase this Solution
Solution Summary

Your tutorial is attached in excel where you see a scattergraph, a regression output tab, the equation, the prediction and an interpretation of the R square (coeffic of determination).

Solution provided by:
Carol Sargent, PhD
Education
  • BSc, University of Virginia
  • MSc, University of Virginia
  • PhD, Georgia State University
Recent Feedback
  • "hey just wanted to know if you used 0% for the risk free rate and if you didn't if you could adjust it please and thank you "
  • "Thank, this is more clear to me now."
  • "Awesome job! "
  • "ty"
  • "Great Analysis, thank you so much"
Purchase this Solution
Free BrainMass Quizzes
Lean your Process

This quiz will help you understand the basic concepts of Lean.

Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Motivation

This tests some key elements of major motivation theories.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.

Managing the Older Worker

This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce

View More Free Quizzes
Related BrainMass Solutions

  • Least squares regression line

    The posting helps with point estimates, a least squares regression line and the range of the coefficient of determination.

  • Temperance, Inc: Computing the Most Accurate Sales Forecast

    437839 Temperance, Inc: Computing the Most Accurate Sales Forecast Temperance, Inc. is studying marketing cost and sales volume, and has generated the following information by use of a scatter diagram and a least-squares regression analysis: Scatter

  • Regression analysis :Least squares methods

    model is Electricity use = 2.796* Temperature +77.33 Step by step method for computing regression model under least squares method.

  • Multiple Choice Economics

    69121 Multiple Choice Economics The presence of autocorrelation leads to all of the following undesirable consequences in the regression results except: a the least-squares estimates of the regression coefficients will be biased b the t-statistics

  • Statistical Tools

    This solution is comprised of an spreadsheet based computation of forecasting, linear equation, least-squares regression method, estimates, correlation coefficient, relationships and the coefficient of determination.

  • Determine least squares equation.

    112673 Determine Least Squares Equation: Example Problem A company's net sales is $ million from 1993-2002, determine the least squares equation and based on this info, what are the estimated sales for 2005?

  • Regression analysis problem

    295111 Variation and the Least-Squares Regression Line Explained and unexplained variation and the least-squares regression line Bivariate data obtained for the paired variables and are shown below, in the table labelled "Sample data."

  • Regression analysis

    164622 Computing the sample correlation coefficient and the coefficients for the least-squares regression line Attached is the problem. Please see the attachments. Calculations are done in excel.

  • Computing Sample Correlation Coefficients

    This solution involves computing the sample correlation coefficient and the coefficients for the least-squares regression line.

View More Related Solutions