Precision Engineering department has collected data on its average costs of production for the past 12 months. The monthly fixed cost is $4000 per month. The AVC and associated output data are presented below:
Run the appropriate regression to calculate the estimated parameters for the empirical cost function AVC = a + bQ + cQ2. The answer should include regression output from the statistical software.
The question belongs to Statistics and it is about calculating the empirical cost function AVC = a + bQ + cQ2 by running the appropriate regression analysis.