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HELPP!! Seaview Apartments is a 900-unit apartment complex. When the apartments are 90% occupied, monthly operating costs total $221,790. When occupancy dips to 80%, monthly
HELPP!!
Seaview Apartments is a 900-unit apartment complex. When the apartments are 90% occupied, monthly operating costs total $221,790. When occupancy dips to 80%, monthly operating costs fall to $216,480. The owner of the apartment complex is worried because many of the apartment residents work at a nearby manufacturing plant that has just announced it will close in three months. The apartment owner fears that occupancy of her apartments will drop to 55% if residents lose their jobs and move away. Assuming the same relevant range, what can the owner expect her operating costs to be if occupancy falls to 55% ? Let's begin by determining the formula that is used to calculate the variable cost (slope). Now determine the formula that is used to calculate the fixed cost component. Use the high-low method to determine Seaview's operating cost equation. y=x+ Assuming the same relevant range, what should the owner expect her operating costs to be if occupancy falls to 55% ? (Round your answer to the nearest whole dollar.) The owner should expect her operating costs to be if occupancy falls to 55%. Let's begin by determining the formula that is used to calculate the variable cost (slope). = Variable cost (slope) s used to calculate the fixed cost component. rmine Seaview's operating cost equation. ] ge, what should the owner expect her operating costs ist whole dollar.) erating costs to be if occupancy falls Ler's begin by determining the formula that is used to calculate the variable cost (slope). Now determine the formula that is used to calculate the fixed cost component. mine Seaviows operasing cost equation. 7e, what should the owner expect her operating costs to be if occupancy falls to 55% ? (Round your answer to the nearest whole dollar.) orating costs to bo if occupancy falls to 55% Step by Step Solution
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