b. Develop a linear regression model that predicts total expenditures based on the number of assigned beneficiaries.
c. Predict expenditures when the number of assigned beneficiaries is 10,000. What is the percentage change in predicted total expenditures when the number of beneficiaries increases from 10,000 to 20,000?
d. Predict expenditures when the number of assigned beneficiaries is 50,000. What is the percentage change in predicted total expenditures when the number of beneficiaries increases from 50,000 to 60,000?
e. Predict expenditures when the number of assigned beneficiaries is 100,000. What is the percentage change in predicted total expenditures when the number of beneficiaries increases from 100,000 to 110,000?
f. What is the predicted number of assigned beneficiaries when total expenditures are $100 million? What is the predicted number of assigned beneficiaries when total expenditures are $500 million?
g. Based on your analysis, does this model suggest that ACOs are more cost-effective? Support your conclusion.