4. Kathy Meyer, owner of Flowers 4 You, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a flat delivery fee, Meyer wants to set the delivery fee based on the dis driven to deliver the flowers. Meyer wants to separate the fixed and variable portions of her van operating costs so that she has a better idea how delivery distance affects these costs. She has the following from the past seven months: 1 (Click the icon to view the data.) Use the high-low method to determine Flowers 4 You's cost equation for van operating costs. Use your results to predict van operating costs at a volume of 17,000 miles. Let's begin by determining the formula that is used to calculate the variable cost (slope). (1) (2) = Variable cost (slope) Now determine the formula that is used to calculate the fixed cost component. (3) (4) = Fixed cost Use the high-low method to determine Flowers 4 You's operating cost equation. (Round the variable cost to the nearest cent and the fixed cost to the nearest whole dollar.) y = X + Use the operating cost equation you determined above to predict van operating costs at a volume of 17,000 miles. The operating costs at a volume of 17,000 miles is 1: Data Table Month Miles Driven Van Operating costs $5,350 15,700 January February 16,500 $5,160 March 14,500 $4,960 $5,320 16,000 April. May 16,300 $5,500 June 15,100 $5,050 July 14,000 $4,560 O Total variable cost (2) O Total variable cost (1) O O Change in cost O Change in volume Highest cost O Highest volume O Lowest cost O Lowest volume O Total operating cost Oood Change in cost O Change in volume Highest cost Highest volume O Lowest cost Lowest volume Total operating cost O Total variable cost (4) O Total variable cost (3) a O Change in cost O Change in volume O Highest cost O Highest volume O Lowest cost O Lowest volume O Total operating cost O Change in cost Change in volume Highest cost O Highest volume O Lowest cost Lowest volume O Total operating cost