Use the following information for Exercises $3-47$ and $3-48$:

During che past year, the high and low use of three diferent resources for Fly High Airlines

occurred in July and April. The resources are airplane depreciation, fuel, and airplane main

tenance. The number of airplane flight hours is the driver. The total costs of the three resources and the related number of airplane flight hours are as follows:

Resource

Airplane Flight Hours

Total Cost

Airplane depreciation:

High

$44,000$

$ $18,000,000$

Low

$28,000$

$18,000,000$

Fuel:

High

$44,000$

$445,896,000$

Low

$28,000$

$283,752,000$

Airplane maintenance:

High

$44,000$

$15,792,000$

Low

$28,000$

$11,504,000$

'IVE

$3$

EXCEL

TIVE

$3$

Exercise $3-47$ High$-$Low Method, Cost Formulas Refer to the information for Fly High Airlines above.

Required:

Use the high$-$low method to answer the following questions.

$1.$ What is the variable rate for airplane depreciation? The fixed cost?

$2.$ What is the cost formula for airplane depreciation?

$3.$ What is the variable rate for fuel? The fixed cost?

$4.$ What is the cost formula for fuel?

$5.$ What is the variable rate for airplane maintenance? The fixed cost?

$6.$ What is the cost formula for airplane maintenance?

$7.$ Using the three cost formulas that you developed, predict the cost of each resource in a month with $36,000$ airplane$$flight$$hours$.$