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Required information i The following information applies to the questions displayed below: ] Maria Chavez owns a catering company that serves food and beverages at parties and business functions. Chavez's business is seasonal, with a heavy schedule during the summer months and holidays and a lighter schedule at other times. One ofthe major events Chavez's customers request is a cocktail party. She offers a standard cocktail party and has estimated the cost per guest as follows: Food and beverages $ 15.00 Labor (0.5 hour @ $10.00 per hour] 5.00 Overhead (0.5 hour 9 $13.98 per hour] 6.99 Total cost per guest S 26.99 The standard cocktail party lasts three hours and Chavez hires one worker for every six guests, so that works out to one-half hour of labor per guest. These workers are hired only as needed and are paid only for the hours they actually work. When bidding on cocktail parties, Chavez adds a 15% markup to yield a price of about $31 per guest. She is confident about her estimates of the costs offood and beverages and labor but is not as comfortable with the estimate of overhead cost. The $13.98 overhead cost per labor-hour was determined by dividing total overhead expenses for the last 12 months by total labor-hours for the same period. Monthly data concerning overhead costs and labor-hours follow: Overhead Month LaborHours Expenses January 2,500 $ 55,000 February 2,800 59,000 March 3,000 60,000 April 4,200 64,000 May 4,500 67,000 June 5,500 71,000 July 6,500 74,000 August 7,500 77,000 September 7,000 75,000 October 4,500 68,000 November 3,100 62,000 December 6,500 73,000 Total 57,600 S 805,000 Chavez has received a request to bid on a lSO-guest fundraising cocktail party to be given next month by an important local charity. (The party would last the usual three hours.) She would like to win this contract because the guest list for this charity event includes many prominent individuals that she would like to secure as future clients. Maria is confident that these potential customers would be favorably impressed by her company's services at the charity event. 4. How low could Chavez bid for the charity event in terms of a price per guest and still break even on the event itself? (Round your answer to the nearest whole dollar amount.) Bid price per gue'at' Req 2A Req 2B Express these estimates in the form Y = a + bX. (Round the Variable cost to 2 decimal places and Fixed Cost to the nearest whole dollar amount.) Y= + XRequired information [The foiiowr'ng information applies to the questions displayed bellow} Maria Chavez owns a catering company that serves food and beverages at parties and business functions. Chavez's business is seasonal, with a heavy schedule during the summer months and holidays and a lighter schedule at other times. One of the major events Chavez's customers request is a cocktail party. She offers a standard cocktail party and has estimated the cost per guest as follows: Food and beverages $ 15.00 Labor {0.5 hour 0 $10.00 per hour) 5.00 Overhead {0.5 hour 0 $13.98 per hour] 6.99 Total cost per guest $ 25-99 The standard cocktail party lasts three hours and Chavez hires one worker for every six guests. so that works out to one- half hour of labor per guest. These workers are hired only as needed and are paid only for the hours they actually work. When bidding on cocktail parties, Chavez adds a 15% markup to yield a price ofabout $31 per guest. She is condent about her estimates ofthe costs offood and beverages and labor but is not as comfortable with the estimate of overhead cost. The $13.98 overhead cost per labor-hourwas determined by dividing total overhead expenses for the last \"I2 months by total labor-hours for the same period. Monthly data concerning overhead costs and labor-hours follow: Overhead Month Laborours Expert aee January 2,500 $ 55,000 .E'ehruary 2,300 59,000 March 3,000 60,000 April 4,200 54,000 May 4,500 51,000 June 5,500 71,000 July 5,500 74,000 August 7,500 17,000 September '1',000 75,000 October 4,500 50,000 November 3,100 62,000 December 6,500 "3,000 Total 51,500 $ 005,000 Chavez has received a request to bid on a 180-guest fundraising cocktail party to be given next month by an important local charity. [The party would last the usual three hours.) She would like to win this contract because the guest list for this charity event includes many prominent individuals that she would like to secure as future clients. Maria is confident that these potential customers would be favorably impressed by her company's services at the charity event. 2-a. Use the least-squares regression method to estimate the fixed and variable components of overhead expenses. 2-b. Express these estimates in the form Y = a + bX. Complete this quution by entering your answers In the tabs below. Req 2A Req 23 Use the least-squares regression method to estimate the xed and variable components of overhead expenses. (Rou nd the Variable cost to 2 decimal places and Fixed Cost to the nearest whole dollar amount.) Fixed cost per month Variable cost per hour Rec] 23 >