Economic Plausibility Regression Analysis. Goodness of Fit 3. Compare the regression equation to the equation.
Hence the dependent variable is ya - 1a so that with a 1 the regression is linear with a 0 it is logarithmic these cases being only two possibilities out of an infinite range as a varies. Significance of the Independent Variable. Economic plausibility - There is a positive relationship between the number of service reports a cost driver and the customer-service department costs.
Significance of the Independent Variable.
Jun 13 2019 regression analysis to estimate the relationship between the quantity purchased and purchase. Regression analysis include numerous independent variables in a regression model in an attempt to maximize goodness of fit irrespective of the economic plausibility of the independent variables included. Was concerned about some cost behavior information given to him by the new assistant controller who was hired because of his recent training in cost analysis. We evaluate the e stimated regression equation using the criteria of economic plausibility goodness of fit and slope of the regression line.
