A cost accountant is developing a regression model to predict the total cost of producing a batch of printed circuit boards as a function of batch size (the number of boards produced in one lot or batch).The explanatory variable is ___.
A)batch size
B)unit variable cost
C)fixed cost
D)total cost
E)total variable cost

Question

Quizplus · Accepted Answer

The explanatory variable in this regression model is the batch size, which is used to predict the total cost of producing a batch of printed circuit boards. Unit variable cost, fixed cost, total cost, and total variable cost are not the primary focus of this model as the primary goal is to link batch size with total cost.

A Cost Accountant Is Developing a Regression Model to Predict