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Hoi Chong Transport, Limited, operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is drive 9 9 ,

Hoi Chong Transport, Limited, operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is drive 99,000 kilometers during a year, the average operating cost is 10.6 cents per kilometer. If a truck is driven only 66,000 kilometers during a year, the average operating cost increases to 11.9 cents per kilometer.
Required:
Using the high-low method, estimate the variable operating cost per kilometer and the annual fixed operating cost associated wi the fleet of trucks.
Express the variable and fixed costs in the form Y=a+bx.
If a truck were driven 82,500 kilometers during a year, what total operating cost would you expect to be incurred?
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