Kim Woo, owner of Flower Power, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a fiat delivery fee, Woo wants to set the delivery fee based on the distance driven to deliver the flowers. Woo wants to separate the fixed and variable portions of her van operating costs so that she has a better idna how delivery stance affects these costs. She has the following data from the past seven months Eb Click the icon to view the data) Use the high-low method to determine Flower Power's cost equation for van operating costs. Use your results to predict van operating costs at a volume of 16,000 miles Let's begin by determining the formula that is used to calculate the variable cost (siope) Change in cont Change in volume Variable cost (opo) Now determine the formula that is used to calculate the food cost component Total operating cost Total variable cost Faced cost Use the high-low method to determine Flower Power's operating cost equation (Round the variable cost to the nearest cent and the fand cost to the nearest whole dollar ye 0.19 X 2100 Kim Woo, owner of Flower Power, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a flat delivery fee, Woo wants to set the delivery fee based on the distance driven to deliver the flowers. Woo 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 Power's cost equation for van operating costs. Use your results to predict van operating costs at a volume of 16,000 miles Data Table Lot'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 Use the high-low method to determine Flower Power's operating cost equation. (Round dollar) Fixed cost Month January February March yo 0.19 x 2100 Miles Driven 15,900 18,000 15,300 16,300 17,000 15,700 15,000 Van Operating costs $5,420 $5,460 $5,100 $5,290 $5,520 55,150 $4.950 April May June July Print Done Help Me Solve This Video Get More Help