Using Regression $to$ Calculate the Variable Rate, Calculate Fixed Cost, Construct a Cost Formula, and Determine Budgeted Cost

Pizza Vesuvio makes specialty pizzas. Data for the past $8$ months were collected:

Month Labor Cost Employee Hours January $$7,000360$ February $8,140550$ March $9,899630$ April $9,787610$ May $8,490480$ June $7,450350$ July $9,490570$ August $7,531310$

Coefficients shown $by$ a regression program for Pizza Vesuvio's data are:

Intercept $4,517$

$x$ Variable $8\mathrm{.}20$

Required:

Use the results $of$ regression $to$ make the following calculations:

$1.$ Calculate the total fixed labor cost.

Calculate the variable rate per employee hour.

$2.$ Construct the cost formula for total labor cost.

Total labor cost $=$ $blank

$+($$ blank

$$Employee hours$)$

$3.$ Calculate the budgeted cost for next month, assuming that $675$ employee hours are budgeted.