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Cubicle Solutions sells productivity software such as word processors, spreadsheets, and personal information managers. Cubicle prides itself on customer support and maintains a large call

Cubicle Solutions sells productivity software such as word processors, spreadsheets, and personal information managers. Cubicle prides itself on customer support and maintains a large call center where customers can call in with technical questions about the installation and use of Cubicle products.

Monthly data on the number of support calls and call center costs for the last year have been collected and are shown below (all activities and costs are in thousands):

Month Support Calls Call Center Cost
1 47 $583
2 59 695
3 55 690
4 49 585
5 65 745
6 57 710
7 54 690
8 58 720
9 61 705
10 50 645
11 52 665
12 51 650

Required:

a. Estimate the monthly fixed costs and the unit variable cost per support call using the high-low estimation method. (Round variable cost per unit to 2 decimal places. Enter your answer in thousands of dollars.)

b. Draw a scattergraph relating call center costs to the number of support calls.

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