Meet Megan: Lives in a suburb of San Jose, CA and is trying to decide between San Jose State University and Santa Clara University Both are close to home, but she wants to live on campus instead of with her mother and stepfather She came across the Consumer Financial Protection Board’s school comparison tool and decides to input her numbers Qualifies for in outside scholarships won through an essay contest Has saved $1500 she can contribute toward tuition; her parents cannot afford to help Got $3000 in Perkins loans, $3000 in Federal Subsidized loans, and $2500 in Federal Unsubsidized loans Is going to take any of the remaining balance in private loans at an interest rate of 7.9% How much debt will she have at graduation for San Jose State University? What will her monthly loan payment be?

An important application of regression analysis in accounting is in the estimation of cost. by collecting data on volume and cost and using the least squares method to develop an estimated regression equation relating volume and cost, an accountant can estimate the cost associated with a particular manufacturing volume. consider the following sample of production volumes and total cost data for a manufacturing operation. production volume (units) total cost ($) 400 4000 450 5000 550 5400 600 5900 700 6400 750 7000 compute b 1 and b 0 (to 2 decimals if necessary). b 1 b 0 complete the estimated regression equation (to 2 decimals if necessary). = + x what is the variable cost per unit produced (to 1 decimal)? $ compute the coefficient of determination (to 4 decimals). note: report r 2 between 0 and 1. r 2 = what percentage of the variation in total cost can be explained by the production volume (to 2 decimals)? % the company's production schedule shows 500 units must be produced next month. what is the estimated total cost for this operation (to 2 decimals)? $