Exercise 6-34 Estimating Cost Behavior by Multiple Methods (Appendix) (L0 6-1, 6-2, 6-5, 6-9) Gator Beach Marts, a chain of convenience grocery stores in the Fort Lauderdale area, has store hours that fluctuate from month to month as the tourist trade in the community varies, The utility costs for one ofthe company's stores are listed below for the past six months. Total Hours Total Utility Month of Operation Cost January 556 $2,176 February 689 2,306 March 769 2,666 April see 2.1% May 459 1,866 June 499 1,799 Required: 1-a. Use the high-low method to estimate the cost behavior for the store's utility costs. Express the cost behavior in formula form (Y: a + bX). 1-b. What is the variable utility cost per hour of operation? 3-a. Construct an Excel spreadsheet and use the Excel commands to perform a leastsquares regression. Estimate the cost behavior for the store's utility cost, Express the cost behavior in formula form. 3-b. What is the variable utility cost per hour of operation? 4. During July, the store will be open 300 hours. Predict the store's total utility cost for July using each of the costestimation methods employed in requirements (1) and (3). Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 3A Req 3B Req 4 Use the highlow method to estimate the cost behavior for the store's utility costs. Express the cost behavior in formula form (Y = a + bX). Monthly utility cost = _-_ X Req1B > Req 1A Req 1B Req 3A Req 3B Req 4 What is the variable utility cost per hour of operation? Variable cost per hour Req 1A Req 1B Req 3A Req 3B Req 4 Construct an Excel spreadsheet and use the Excel commands to perform a least-squares regression. Estimate the cost behavior for the store's utility cost. Express the cost behavior in formula form. (Do not round intermediate calculations. Round the intercept to the nearest whole number and the slope to two decimal places.) Monthly utility cost = + X Req 1A Req 1B Req 3A Req 3B Req 4 During July, the store will be open 300 hours. Predict the store's total utility cost for July using each of the cost-estimation methods employed in requirements (1) and (3). (Do not round intermediate calculations. Round the intercept to the nearest whole number and the slope to two decimal places.) Cost Predictions High-low method Least-square regression