The Kansas City Veterinary Laboratory performs a variety of diagnostic tests on commercial and domestic animals. The lab has incurred the following costs over the past year.

Required:

1. Plot the data above in a scatter diagram. Assign cost to the vertical axis and the number of diagnostic tests to the horizontal axis. Visually fit a line to the plotted data.

2. Using the visually fit line, estimate the monthly fixed cost and the variable cost per diagnostictest.

Transcribed Image Text:

Diagnostic Tests Completed Month January. February March. Aril Cost 1,525.. 2,250.. 3,550. 3,100 2,350 2,950 3,000. 3,050 2,bJu $30,100 36,500 50,000 47,800 37,400 44,000 45,500 45,000 43,500 38,300 39,050 40,100 y. June August. September.... . October. Novernber December 2450 2400 2,525