Using Regression Results to Construct and Apply a Cost Formula McGarvey Manufacturing Company had the following 12 months of data on purchasing cost and number of purchase orders. The controller for McGarvey Manufacturing ran regression on the data, and the coefficients shown by the regression program are: Intercept x variable 1 Required: 15,676 (rounded to the nearest dollar) 8.03 (rounded to the nearest cent) The controller for McGarvey Manufacturing ran regression on the data, and the coefficients shown by the regression program are: Intercept x variable 1 Required: 15,676 (rounded to the nearest dollar) 8.03 (rounded to the nearest cent) 1. Construct the cost formula for the purchasing activity showing the fored cost and the variable rate. Total purchasing cost =s +15 Purchase orders) 2. If McGarvey Manufacturing Company estimates that next month will have 470 purchase orders, what is the total estimated purchasing cost for that month? (Round your answer to the nearest dollar.) 1 3. What if MeGarvey Manufacturing wants to estimate purchasing cost for the coming year and expects 6,090 purchase orders? What will estimated total purchasing cost. be? (Round your answer to the nearest dollar.) What is the total fixed purchasing cost? Why doesn't it equal the fixed cost calculated in Requirement 1 above