Assume that a company wants to separate a mixed cost into its variable and fixed elements for cost estimation purposes. It provided the following information:

Month		Units Produced				Mixed Cost
January		1,050			$	11,045
February		1,150			$	11,870
March		1,100			$	11,560
April		1,250			$	12,100
May		950			$	10,800
June		1,280			$	12,210
July		990			$	10,970
August		1,010			$	11,005

The regression equation used for estimating the total mixed cost for a given level of activity is closest to:

Multiple Choice

• Y = $5,860 + $4.14X.

• Y = $6,460 + $4.54X.

• Y = $6,240 + $3.84X.

• Y = $5,990 + $3.74X.