The following video screencasts describes how you can easily do linear regression in ms excel for determining what part of a mixed cost is a Fixed Cost and what part is a Variable Cost. Also See how to create a Scatter Diagram and add Trend Line.
The SLOPE (m) function calculates the slope of the linear equation y = m*x + b
The INTERCEPT (b) function calculates the intercept of the linear equation y = m*x + b
The RSQ (r^2) function calculates the Coefficient Of Determination (how much influence x has on y)
The symbol carrot ^ (Shift + 6) is used for exponents
The ROUND function must be used when:
1) multiplying decimals;
2) you are required to round (money requires that you round because the smallest unit is a penny); 3) you will use your formula results in subsequent formulas.
How to Calculate Cost Accounting Regression in MS Excel
This video is for a Highline Community College Cost Accounting Class.
The SLOPE (m) function calculates the slope of the linear equation y = m*x + b
The INTERCEPT (b) function calculates the intercept of the linear equation y = m*x + b
The RSQ (r^2) function calculates the Coefficient Of Determination (how much influence x has on y)
The symbol carrot ^ (Shift + 6) is used for exponents
The ROUND function must be used when:
1) multiplying decimals;
2) you are required to round (money requires that you round because the smallest unit is a penny); 3) you will use your formula results in subsequent formulas.
How to Calculate Cost Accounting Regression in MS Excel
