Question: The administrator of Azalea Hills Hospital would like a cost formula linking the administrative costs involved in admitting patients to the number of patients admitted during a month. The admitting department's costs and the number of patients admitted during the immediately preceding eight months are given in the following table:
| Month |
Number of Patients
Admitted |
Admitting epartment
Costs |
| May |
1,800 |
14,700 |
| June |
1,900 |
15,200 |
| July |
1,700 |
13,700 |
| August |
1,600 |
14,000 |
| September |
1,500 |
14,300 |
| October |
1,300 |
13,100 |
| November |
1,100 |
12,800 |
| December |
1,500 |
14,600 |
Use the scatterplot chart function in Excel to estimate the fixed and variable components of admitting costs. Round off your answers to two decimal places
Express the fixed and variable components of admitting costs as a cost formula in the form Y = a+ bX.
What is the R2 between X and Y?