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MONTH ACTIVITY COST January 450 6,250 February 700 8,600 March 750 9,200 April 525 6,750 May 800 10,000 June 675 8,000 July 600 7,500 August
| MONTH | ACTIVITY | COST |
| January | 450 | 6,250 |
| February | 700 | 8,600 |
| March | 750 | 9,200 |
| April | 525 | 6,750 |
| May | 800 | 10,000 |
| June | 675 | 8,000 |
| July | 600 | 7,500 |
| August | 400 | 6,000 |
1. Using the Semi-Averages method, what is the estimate of fixed costs?
2.
The results of a least squares regression are as follows:
Intercept: $12,250
Slope: 12
Coefficient of correlation .86
Standard error $640
What is the predictive model (the cost formula)?
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