• Gourmet Deli is examining its food preparation costs related to the number of meals prepared.
• Data Collected:
  • Week 1: Total Costs: $5,000, Meals Prepared: 1,000
  • Week 4: Total Costs: $8,000, Meals Prepared: 1,600
• Tasks:
  • Determine the variable cost per meal and fixed costs using the High-Low Method.
  • Develop a cost equation.
  • Predict the total costs for preparing 2,000 meals.
  • Discuss strategies for reducing food waste and controlling costs.