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Genesee Fishing Tours (GFT) offers small group fishing expeditions off the local coast. The managers of the company are considering expanding the business to another

Genesee Fishing Tours (GFT) offers small group fishing expeditions off the local coast. The managers of the company are considering expanding the business to another city and want to put together a financial plan. As a part of that effort, the financial staff are analyzing the operating costs of GFT. They believe that a good predictor of operating cost is the number of clients that use the service. As a part of their analysis, they have collected 30 months of data on operating costs and number of clients, which follow:

Month Clients Operating Cost
1 458 $ 36,980
2 741 42,790
3 608 41,810
4 526 38,500
5 648 41,860
6 436 35,850
7 391 34,400
8 713 40,310
9 831 42,010
10 565 39,240
11 714 44,220
12 652 39,980
13 665 41,760
14 548 39,680
15 453 38,890
16 371 36,030
17 565 50,640
18 613 55,770
19 484 44,160
20 518 48,570
21 476 45,590
22 481 44,680
23 584 53,490
24 602 53,820
25 779 65,490
26 649 58,830
27 612 54,460
28 527 48,060
29 509 46,290
30 547 51,590

Required:

Estimate the operating costs assuming 700 clients for the month using the high-low method.

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