Global Office Services & Supplies sells various products and services in the greater Wentworth area. Duplicating is one of its most popular services for corporate customers and individuals alike. Selected data from the Duplicating Department for the previous 6 months are as follows:

A. What is the variable cost per copy for Global Office Services & Supplies?
B. What is the fixed cost for the Duplicating Department?
C. Based on the limited regression output provided above, what cost formula should be used to compute an estimate of future total costs in the Duplicating Department?
D. If 26,000 copies are made next month, what total cost would be predicted?
E. Based on the information given, how accurate will the cost formula developed in response to question C be at predicting total Duplicating Department cost eachmonth?

  • CreatedMarch 11, 2015
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