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Exercise 6-30 High-Low Method; Tour Company (LO 6-1, 6-2, 6-5) Rio Bus Tours has incurred the following bus maintenance costs during the recent tourist season.

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Exercise 6-30 High-Low Method; Tour Company (LO 6-1, 6-2, 6-5) Rio Bus Tours has incurred the following bus maintenance costs during the recent tourist season. (The real is Brazil's national monetary unit. On the day this exercise was written, the real was equivalent in value to .269 U.S. dollar) Miles Traveled by Tour Buses 13,800 16,600 19,400 23,200 30,700 12,700 Month Cost 17,800 real 18,100 18,250 18,700 19,900 17,200 December January March April Required: 1. Use the high-low method to estimate the variable cost per tour mile traveled and the fixed cost per month. 2. Develop a formula to express the cost behavior exhibited by the company's maintenance cost 3. Predict the level of maintenance cost that would be incurred during a month when 36,000 tour miles are driven

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