Homework: Exercise 6-26A (Graded) Save Score: 8.57 of 15 pts 1 of 1 (1 complete) HW Score: 57.14%, 8.57 of 15 pts %E6-26A (similar to) A Question Help Kelly Coughlin, owner of Flower Direct, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a flat delivery Coughlin wants to set the delivery fee based on the distance driven to deliver the flowers. Coughlin wants to separate the fixed and variable portions of her van operating costs so that she has a better idea how delivery distance affects these costs. She has the following data from the past seven months: (Click the icon to view the data.) Use the high-low method to determine Flower Direct's cost equation for van operating costs. Use your results to predict van operating costs at a volume of 15,500 miles. Data Table Let's begin by determining the formula that is used to calculate the variable cost (slope) Change in cost Change in volume Variable cost (slope) 1 = Now determine the formula that is used to calculate the fixed cost component. Month Miles Driven Van Operating Costs $5,460 Total operating cost Total variable cost 15,800 Fixed cost January February March 17,300 $5,680 Use the high-low method to determine Flower Direct's operating cost equation. (Round dollar.) 14,600 16,000 $4,940 $5,310 $5,830 y = $ April May June X + $ 17,100 15,400 $5,420 July 14,100 $4,880 Print Done Enter any number in the edit fields and then click Check