Question
Kelly has a very fluctuating workforce based on seasonal demand. Shes ranged from having 10 employees in one month to 35 employees in another month.
Kelly has a very fluctuating workforce based on seasonal demand. Shes ranged from having 10 employees in one month to 35 employees in another month. Some employees are paid a salary, others are paid hourly. She would like to know more about how these costs behave. Use the file ch7-05 to complete a cost prediction worksheet. Save the file as ch7- 05_student_name (replacing student_name with your name). The work- sheet should do the following: a. Calculate variable cost per employee, fixed costs, and a prediction of payroll cost with 43 employees using the Hi-Lo method. b. Calculate variable cost per employee, fixed costs, and a prediction of payroll cost with 43 employees using the Least Squares/Regression method. c. Display a chart of payroll/employees with a trend line. (Be sure to modify each axis so your scatter diagram is better displayed, as you did earlier in this chapter
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