Kim Wilson, controller for Max Enterprises, has decided to estimate the fixed and variable com- ponents associated with the company's shipping activity. She has collected the following data for the past six months: Total Shipping Costs Packages Shipped 10- L 20 15 12 18 $ 800 1,100 900 900 1,050 28948292 2015/01/26 203,23012.95 25H 1,250 Required: 1. Estimate the fixed and variable components for the shipping costs using the high-low method. Using the cost formula, predict the total cost of shipping if 14 packages are shipped. 2. Estimate the fixed and variable components using the method of least squares. Using the cost formula, predict the total cost of shipping if 14 packages are shipped. 3. (Appendix 3A) For the method of least squares, explain what the coefficient of determina- tion tells us.