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2 months are: ( Click the icon to view the information. ) Requirements Estimate the cast function for delivery. Can the constant in the cost
months are:
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Requirements
Estimate the cast function for delivery.
Can the constant in the cost function be used as an estimate of fixed delivery cost per month? Explain.
Requirement Estimate the cost function for delivery.
Requirement Can the constant in the cost function be used as an estimate of fixed delivery cost per month? Explain.
The cost function in requirement is an estimate of how costs behave
the relevant range, not at cost levels
the relevant range. If there are no months with zero
miles driven represented in the delivery cost account in the general ledger, data in that account.
be used to estimate the fixed costs at the zero miles driven level. The
constant component of the cost function provides the best avalable starting point for a straight line that approximates how a cost behaves
Data table
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