You are trying to determine whether machine hours or direct labor dollars would be the best cost driver for overhead costs. You run two regression analyses and obtain the following results:
Which variable would be the best selection for a cost driver and why?

Question

You are trying to determine whether machine hours or direct labor dollars would be the best cost driver for overhead costs. You run two regression analyses and obtain the following results:
   Which variable would be the best selection for a cost driver and why?

Quizplus · Accepted Answer

The Answer of You are trying to determine whether machine hours or direct labor dollars would be the best cost driver for overhead costs. You run two regression analyses and obtain the following results:
   Which variable would be the best selection for a cost driver and why?

You Are Trying to Determine Whether Machine Hours or Direct