Express the variable and fixed costs in the form Y = a + bx. (Do not round your 2. intermediate calculations. Round the Variable cost per kilometer to 3 decimal places.) Y= x 3. If a truck were driven 80,000 kilometers during a year, what total cost would you expect to be incurred? (Do not round intermediate calculations.) Total annual cost Hoi Chong Transport, Ltd., operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is driven 105,000 kilometers during a year, the average operating cost is 11.4 cents per kilometer. If a truck is driven only 70,000 kilometers during a year, the average operating cost increases to 13.4 cents per kilometer. Required: 1. Using the high-low method, estimate the variable and fixed cost elements of the annual cost of the truck operation. (Do not round your intermediate calculations. Round the Variable cost per kilometer to 3 decimal places.) Kilometers Driven Total Annual Cost High level of activity Low level of activity Change per kilometer Variable cost per kilometer Fixed cost per year