Topic: Linear Regression:
Description:
Assignment Overview:
As the Quality Manager for Excellent Manufacturing Company you have received the Quarterly Production Report. This shows that the latest 13 weeks of the production output and hours worked in each department. The Assembly Department Manager would like to know if there is a way that the data can be used to create a prediction for the number of hours to work given a specific amount of output needed for a week. You have decided to use linear regression to see if there is a relationship between the weekly output and the amount of hours worked.
Week Output Hours Worked
1 908 380
2 986 373
3 1056 403
4 855 351
5 1046 425
6 1072 410
7 983 383
8 896 380
9 1035 410
10 992 367
11 1023 374
12 1115 443
13 909 352
Case Assignment
Using Excel:
a. Enter the data
b. Generate a scatter plot
c. Calculate the regression equation using the formula approach. Show all calculatons and steps. You may verify your results using the Excel easy formula.
d. Add the equation to the graph using the “add equation” option and include the equation formula. Verify that the equation in the plot is the same as that you calculated.
e. Estimate a prediction for the number of hours required to work if the desired output for the week is 1000.
f. Determine the prediction interval with a 5% alpha.
Assignment Expectations:
Do the activities as described above. Write a two to three page paper explaining what you did and interpret the results of the regression and the prediction. Include references if you use any. Submit the paper as the case and upload the Excel file into Additional files.