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Exercise 5A-3 (Algo) Cost Behavior; High-Low Method [LO5-10] Hol Chong Transport, Limited, operates a fleet of delivery trucks in Singapore. The company has determined that

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Exercise 5A-3 (Algo) Cost Behavior; High-Low Method [LO5-10] Hol Chong Transport, Limited, operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is driven 162,000 kilometers during a year, the average operating cost is 13.2 cents per kilometer. If a truck is driven only 108,000 kilometers during a year, the average operating cost increases to 16.6 cents per kilometer. Required: 1. Using the high-low method, estimate the variable operating cost per kilometer and the annual fixed operating cost associated with the fleet of trucks. 2. Express the variable and fixed costs in the form Y=a+bX. 3. If a truck were driven 135,000 kilometers during a year, what total operating cost would you expect to be incurred? Complete this question by entering your answers in the tabs below. Using the high-low method, estimate the variable eperating cost per kliometer and the annuat fixed operating cost associated with the fleet of trucks. (Do nat round your intermediate calculations. Round the Variable cost per kilometer to 3 decimal placesin Exercise 5A-3 (Algo) Cost Behavior; High-Low Method [LO5-10] Hoi Chong Transport, Limited, operates a fleet of delivery trucks in Singapore. The company has 162,000 kilometers during a year, the average operating cost is 13.2 cents per kilometer. If a truck during a year, the average operating cost increases to 16.6 cents per kilometer. Required: 1. Using the high-low method, estimate the variable operating cost per kilometer and the annual fi) the fleet of trucks. 2. Express the variable and fixed costs in the form Y=a+bX. 3. If a truck were driven 135,000 kilometers during a year, what total operating cost would you exp Complete this question by entering your answers in the tabs below. Express the variable and fixed costs in the form Y=a+bX. (Do not round your intermediate calculations cost per kilometer to 3 decimal places.) Exercise 5A-3 (Algo) Cost Behavior; High-Low Method [LO5-10] Hoi Chong Transport, Limited, operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is driven 162,000 kilometers during a year, the average operating cost is 13.2 cents per kilometer. If a truck is driven only 108,000kilometers during a year, the average operating cost increases to 16.6 cents per kilometer. Required: 1. Using the high-low method, estimate the variable operating cost per kilometer and the annual fixed operating cost associated with the fleet of trucks. 2. Express the variable and fixed costs in the form Y=a+bX 3. If a truck were driven 135,000 kilometers during a year, what total operating cost would you expect to be incurred? Complete this question by entering your answers in the tabs below. If a truck were driven 135,000 kilometers during a year, whot total operating cost would you expect to be incurred? (Do not round intermediate calculations.)

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