EBK USING MIS
EBK USING MIS
10th Edition
ISBN: 9780134658919
Author: KROENKE
Publisher: YUZU
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Chapter 9.6, Problem 4BFSQ
Program Plan Intro

Regression Analysis:

Regression Analysis is a statistical approach that is used to find the change in a dependent variable (let’s say revenue of total sales) on the basis of one or more other independent variables (let’s say total population or income). Regression analysis can fit data points into a curve or line.

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As of the time of writing, Damon Davis was completing out the paperwork for Drano Plumbing. He estimated a $50,000 net profit would be made. He counted the columns of the balance sheet and knew how much was in the credit column ($300,000) and how much was in the negative column ($400,000). What, in your opinion, was the most plausible reason for the discrepancy in the results? What should he do next to identify the issue's cause if this wasn't the cause of the issue?
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Damon Davis was finalising Drano Plumbing's paperwork. He projected a $50,000 net profit. When he added up the columns on the Balance Sheet, he saw that the debit column amounted to $400,000 and the credit column amounted to $300,000. What was the most probable cause of the outcome discrepancy? If this was not the cause of the issue, how should he proceed to ascertain its origin?
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