4. The WShute provides a water taxi across the St. Johns River for $4 per ride. It has provided the following data ooneeming its costs of operating its water taxi: mmmmmlm Ml a. Use the high-low method to answer the following: 1. Variable cost per rider = (11,225 - $7,390) 2' (4,200 2,500) = $2.26 2. Fixed costs per month = 11,225 ($2.26 x 4,200) = $1,733 3. Write the cost equation in good form. Total cost = Fixed cost + (Variable cost per unit x Activity level in units) Total cost = $1333 + ($2.26x) where x = the number of riders b. How many water taxi customers does 3mm need to generate a prot of $4,190 per month? Prot = SP(x) - VC(x) - TFC $4,190 = $4.00(x) $2.26(x) - $1,733 Combine iike terms $5,923 = $1 .74): Divide by $1.74 to soive forx x = 3,404 ($4.00 x 3,404) ($2.26 x 3,404) 1,733 13,616 7,693 1,733 = $4,190