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Garfield Company manufactures a popular brand of dog repellant known as Dog Gone It, which it sells in gallon- size bottles with a spray attachment.
Garfield Company manufactures a popular brand of dog repellant known as Dog Gone It, which it sells in gallon- size bottles with a spray attachment. The majority of Garfield's business comes from orders placed by homeowners who are trying to keep neighborhood dogs out of their yards. Garfield's operating information for the first six months of the year follows: Month January February March April May June Number of Bottles Sold 800 1,400 1,750 2,400 3,480 3,800 Operating Cost $ 11,000 15,740 15,800 19,675 27,245 35,000 Required: 3. Using the high-low method, calculate Garfield's total fixed operating costs and variable operating cost per bottle. 4. Perform a least-squares regression analysis on Garfield's data. 5. Determine how well this regression analysis explains the data. 6. Using the regression output, create a linear cost equation (y= a + bx) for estimating Garfield's operating costs
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