The following information is available about the cost of leased copier equipment.

The company pays the lessor a fixed amount per month plus a usage fee based on number of pages. The total fee may be adjusted for bad copies or improper usage.
Required:
(a) Determine the cost formula for this mixed cost.
(b) What is the estimated total rental fee if 15,970 copies are expected to be produced in December?

Transcribed Image Text:

Rental Fee Paid to Lessor Month May # of Copies 12,500 18,320 17,195 20,050 19,350 13,620 S612.50 752.70 715.20 801.25 791.50 618.40 une July August September October