12A production company is studying the relationship between the average cost/unit andnumber of units produced in a batch. A sample of 10 batches is selected and the data isgiven below.No. of Units Produced203550658095110120135-150Cost/unit37.715836.015830.815827.815820.036416.906414.376613.856413.969613.847 135150Below is a portion of the output from a regression analysis relating cost per unit (thedependent variable) to number of units produced (the independent variable).InterceptNo. of UnitsProducedO $40.50$19.58$17.56O $4.63Coefficients$247 1313.969613.84740.7083StandardErrort Stat2.2587 18.0232If the number of units produced is 100, what is the predicted cost per unit rounded to 2decimal places?P-value Lower 95% Upper 95%0.0000 35.4998 45.9168-0.2113 0.0237 -8.9247 0.0000 -0.2659 -0.1567

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If the number of units produced is 100, what is the predicted cost per unit rounded to 2 decimal places?

ENGR.ECONOMIC ANALYSIS

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ISBN:9780190931919

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Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

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Question

12
A production company is studying the relationship between the average cost/unit and
number of units produced in a batch. A sample of 10 batches is selected and the data is
given below.
No. of Units Produced
20
35
50
65
80
95
110
120
135
-150
Cost/unit
37.7158
36.0158
30.8158
27.8158
20.0364
16.9064
14.3766
13.8564
13.9696
13.847

135
150
Below is a portion of the output from a regression analysis relating cost per unit (the
dependent variable) to number of units produced (the independent variable).
Intercept
No. of Units
Produced
O $40.50
$19.58
$17.56
O $4.63
Coefficients
$247 13
13.9696
13.847
40.7083
Standard
Error
t Stat
2.2587 18.0232
If the number of units produced is 100, what is the predicted cost per unit rounded to 2
decimal places?
P-value Lower 95% Upper 95%
0.0000 35.4998 45.9168
-0.2113 0.0237 -8.9247 0.0000 -0.2659 -0.1567

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