Kelly Chen, owner of Flower Hour, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a flat delivery fee, Chen wants to set 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 Hour's cost equation for van operating costs. Use your results to predict operating costs at a volume of 15,000 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 Data table y = Use the high-low method to determine Flower Hour's operating cost equation. (Round $ 0.26 x + $ 1,150 Month Miles Driven Van Operating Costs Use the operating cost equation you determined above to predict van operating costs January 16,000 $5,490 The operating costs at a volume of 15,000 miles is February 17,500 $5,700 March 14,900 $4,910 April 16,200 $5,340 May 16,900 $5,820 June 15,100 $5,410 July 14,500 $4,920 Print Done la