Kathy Rafferty, owner of Flower Direct, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a flat delivery fee, Rafferty wants to set the delivery fee based on the distance driven to deliver the flowers. Rafferty 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: EClick 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. Let's begin by deter Change in cos 0 Data Table - X Now determine the fo Total operating Month Use the high-low me nearest cent and the variable cost to the y = X + January...... February ..... March April May ....... Miles Driven 16,400 17,500 15,000 16,100 17.300 15,600 Van Operating costs $5,480 $5,400 $4,950 $5,270 $5,740 $5,440 $4,680 ........ June Enter any number in July 14,500 1 part remaining Print heck Answer Done (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. 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) Now determine the formula that is used to calculate the fixed cost component. Total operating cost Total variable cost Fixed cost Use the high-low method to determine Flower Direct's operating cost equation. (Round the variable cost to thens nearest cent and the fixed cost to the nearest whole dollar.) y = X +