Following is the electricity cost for the last year at River City Die and Machine Shop
There are two possible cost drivers, labor hours and Machine hours. Use Microsoft Excel to solve.
1.Compute the coefficients for each driver
2.Compute the projected total cost of electricity assuming a projected 8,000 labor hours 3.Explain the significance of the calculation.
	Cost	LH	MH
Jan	26000	5500	8100
Feb	28500	6000	9000
Mar	23000	5600	11000
Apr	31000	6500	9600
May	36000	7500	11500
Jun	40000	8900	12500
Jul	42000	9100	15500
Aug	41000	9200	11000
Sep	35500	7400	10500
Oct	30000	6000	8000
Nov	28000	5100	8200
Dec	26000	4900	7400