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Bill's Corp, wants to develop a cost equation for its administrative costs. The controller believes the appropriate cost driver is units produced. Last year's data
Bill's Corp, wants to develop a cost equation for its administrative costs. The controller believes the appropriate cost driver is units produced. Last year's data are presented below: Month Units Produced Administrative Costs 32,500 s 37,700 24,700 40,300 49,400 42,900 53,300 45,500 26,000 48,100 24,288 27,720 17,820 30,360 37,290 29,040 32,670 30,030 20,460 34,320 40,920 36,630 January February March April May une July August September October Noveniber61,100 December 54,600 2.) Using the Scatter Graph what are: a) The fixed cost b) The variable cost c) What is the equation for administrative costs using the Scatter Graph? d) i 25,000 units were produced, what would be your total cost
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