The Following Excel Printout Provides Information to Estimate Overhead Costs

The following Excel printout provides information to estimate overhead costs using linear regression:
$\begin{array}{lrrrrrr}&&\text { Standard }\\&\text { Coefficients }&\text { Error }& t \text { Stat }&P \text {-value } &\text {Lower 95 \%}&\text { Upper } 95 \%\\\hline \text { Intercept } & 6035.987027 & 1411.05464 & 4.277642 & 0.002696 & 2782.0871 & 9289.88697 \\\text { DLH } & 4.558482698 & 1.609683731 & 2.831912 & 0.022085 & 0.846543 & 8.27042244 \\\text { \# setups } & 771.1028938 & 54.93418317 & 14.03685 & 6.44 \mathrm{E}-07 & 644.42436 & 897.781429 \\\text { \# moves } & 29.9411124 & 2.874675342 & 10.41548 & 6.26 \mathrm{E}-06 & 23.312095 & 36.5701299\end{array}$ $$\begin{array} { l r } \quad\quad\quad\quad { \text { Regression Stidistics } } \\\hline \text { Multiple R } & 0.996584412 \\\text { R Square } & 0.99318049 \\\text { Adjusted R Square } & 0.990623174 \\\text { Standard Errar } & 347.9563597 \\\text { Observations } & 12 \\\hline\end{array}$$
a.Write the multiple regression model (round to nearest cent).
b.What does the 't Stat' measure?
c.What is the estimate of overhead if the department has 1,205 DLH,55 setups,and 125 moves?

Correct Answer:

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a.Overhead = $6,035.99 + $4.56 (DLH)+ $...

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