Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. horton homes is a construction company. while many

Horton Homes is a construction company. While many construction companies recognize revenue using the percentage...

80.2K

Verified Solution

Question

Accounting

Horton Homes is a construction company. While many construction companies recognize revenue using the percentage of completion principle, Horton Homes' revenue recognition policy is based on the closing of the sale. Homes that are not sold yet are treated as inventory and should be a good indicator of potential revenue. Horton Homes would like to build a linear regression model for revenue. You use history inventory and ash values to determine if these variables should be used in the model. Using the data analysis regression functionality in Excel, the following regression statistics were generated:
\table[[,,Standard,,],[Coefficients,Error,t Stat,P-value,],[Intercept,-2.7E+09,1.02E+09,-2.60848,0.034991],[Cash,-0.20306,0.723724,-0.28057,0.787151],[Inventory,1.971679,0.166272,11.85814,6.89E-06
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Rally Road and Tend, which company will be more successful at generating network effects, and why?

Finance
Q

what is the relationship between Mechanical advantage and gear ratios?

Physics
Q

An object of size 3 cm is placed 14 cm in front a convex mirror...

Physics
Q

29 C 1 sino A r 3 sing intersection ts 12 n

Geometry
Q

Newjet Inc manufactures inkjet printers and laser printers The company has the capacity to make...

Basic Math
Q

Why was Carnegie Steel considered a vertical monopoly?The company controlled every step of steel production,...

Basic Math
Q

Given ?ABC with ?B= 78,m?C = 52, and a = 16 inches, what is the...

Calculus
Q

Under certain water conditions the free chlorine hypochlorous acid HOCI in a swimming pool decomposes...

Calculus
Q

Differentiate f x the function f x x 8x 9 1

Calculus
Q

Butler, Inc. paid $67,500 to retire a note with a face value of $74,700 ....

Accounting
Q

Problem 24-6A Net present value of alternate investments @p3 Interstate Manufacturing is considering either overhauling...

Accounting
Q

What are 3 types of user permissions you can choose from in QuickBooks Online Accountant...

Accounting