Question

Boom Company assembles and sells portable speaker systems in the midwest. In an effort to improve the planning and control of shipping expenses, management is trying to determine which of three variables-units shipped, weight shipped, or sales value of units shipped-has the closest relationship with shipping expenses. The following information is available: Month May June July August September October Weight Sales Value of Shipping Units Shipped Shipped (lbs.) Units Shipped Expenses 6,000 9,300 $200,000 $8,960 10,000 12,000 220,000 12,320 8,000 12,150 160,000 10,400 14,000 15,000 228,000 16,640 12,000 10,500 280,000 13,760 9,000 12,000 320,000 13,120

Answer 1

Answer AsSemblas and sel pertable speaker Syslem im Me midaest the plamig ard ontrol fshipping Cn penses mdapendend Vardable the appecas the Pave the closesl relationship o shipprs capen The hyh-Jo mehod to deleminethe andale Onet ed ostand aule at he Cas pex Calabaliy Veoricab le ast Cast eguoloi shipping Cpens Per Ond sipid Vartable abal shipping Snpenhghed Uml Total Vaniable hipping

Higkest onat Jowes on Varuble shipping epe Per U skppd $uo-60 o.96 Per Fived Shipping Spre Totalshipping Coperse a Highed n To lal Variable hippig apend -O.96x14OC0 -3200 16640 Bascd above. Calaulake he The otal Cas equaló 2 3206 t096x

The equale develped In aequrid To tal dipping penses in amonth 5000 -3200t0.96 X S 000 -8000 -64000