Question
IndigoCopy & Printing wants to predict copy machine repair expense at different levels of copying activity (number of copies made). The following data have been
IndigoCopy & Printing wants to predict copy machine repair expense at different levels of copying activity (number of copies made). The following data have been gathered:
Copy Machine
Month
Repair Expense
Copies Made
May
$11,220
282,000
June
19,640
596,000
July
32,850
1,003,000
August
26,150
813,000
September
14,260
400,000
Determine the fixed and variable components of repair expense using the high-low method. Use copies made as the measure of activity.(Round variable component per copy to 2 decimal places, e.g. 0.15.)
Variable Component
$
enter a dollar amount per copy rounded to 2 decimal places
per copy
Fixed Component
$
enter a dollar amount per month rounded to 0 decimal places
per month
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