Star,Inc.used Excel to run a least-squares regression analysis,which resulted in the following output: What is Star's total fixed cost?

A)$61,603
B)$92,130
C)$175,003
D)$236,606

Question

Star,Inc.used Excel to run a least-squares regression analysis,which resulted in the following output: What is Star's total fixed cost?

A)$61,603 
B)$92,130 
C)$175,003 
D)$236,606

Quizplus · Accepted Answer

According to the output, the intercept value of the regression line represents the total fixed cost. In this case, the intercept value is $175,003. Therefore, the best choice is C.

Star,Incused Excel to Run a Least-Squares Regression Analysis,which Resulted in the Following