Required Use the scatter graph method to estimate total fixed costs per year and the variable cost
Fantastic news! We've Found the answer you've been seeking!
Question:
- Required
- Use the scatter graph method to estimate total fixed costs per year and the variable cost per mile. State your results in the cost equation form Y = f + v X by filling in the dollar amounts for f and v.
- What would the estimated costs be if the trucks drove 500,000 miles in year 7?
Use the regression output to develop the cost equation Y = f + v X by filling in the dollar amounts for f and v.- What would the city of Rockville’s estimated costs be if its trucks drove 500,000 miles in year 7?
- Reporting Period (Year)
- Total Costs Level of Activity (Miles Driven)
- Year 1 $ 750,000 225,000
- Year 2 850,000 240,000
- Year 3 1,100,000 430,000
- Year 4 1,150,000 454,000
- Year 5 1,250,000 560,000
- Year 6 1,550,000 710,000
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date: