Using HP 17bII+ for Cost Estimation with Linear Regression

Johnson’s Chair Company has experienced the following costs for the first 6 months of the year:
# Chairs Made
5,000
5,500
4,800
5,300
4,950
5,150
Total Costs
$120,000
$122,100
$118,540
$122,400
$119,100
$124,200

Entering data in HP 17bII+:

Johnson’s fixed cost:

Johnson�s variable cost:

How good is the fit of the linear regression line generated?

Total costs for 5,400 chairs:

Total costs were $125,000, how many chairs:

This solution is also applicable to HP 17bII and HP 19bII Financial Calculator.