Based on the regression analysis, the estimated fixed costs and variable costs per case at Point Products can be resolved from the intercept and coefficient on cases. The intercept represents the fixed cost, which occurred despite the level of production or sales. The coefficient on cases can be determined by the cost per case, which is the cost that varies with the level of production. The negative value for the intercept which is negative 199.7 does not make sense because the fixed costs cannot be negative. This can be an issue with the data regression, not calculating the data well, or it may read that the intercept is not a true representation of the fixed costs. Assuming that the regression analysis is correct and we take the absolute value of the intercept as the fixed costs we would have a positive number of 199.7 and variable cost per case in amount of 0.132. 2. To estimate the overhead costs for a month for 5,000 cases we have to use the regression equations which is: Overhead = Fixed Costs + (Variable Cost per Case * Number of Cases). The estimated overhead costs are $199.7 + ($0.132*5000) = $199.7 + $660 = $859.7. 3. Based on the results of the account analysis, the fixed costs are $22,600 and the variable cost per case is $80. Using these values, we can estimate by using the formula same as above in Q2. The formula is Overhead = Fixed Costs + (Variable Cost per Case * Number of Cases). For 5,000 cases, the estimated overhead costs are $22,600 + ($80*5000) = $22,600 + $400,000 = $422,60(estimated overhead costs for a month with $5000 cases). The results show a discrepancy between the regression and account analysis, a thorough research into the cost structure and the regressional model's fit to the actual data might be essential. Write a memo based on the information above