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The assistant is unsure how to classify the utilities costs in the radiology department, since these costs do not exhibit either strictly variable or strictly fixed cost behaviour. Utilities costs are very high in the department due to a CT scanner that draws a large amount of power and is kept running at all times. The scanner cannot be turned off due to the long warm-up period required for its use. When the scanner is used to scan a patient, it consumes an additional burst of power. The assistant has accumulated the following data on utilities costs and use of the scanner since the first of the year: Number of Scans Month January February March April May June July August September October 40 85 100 150 200 110 260 160 210 180 Utilities Cost $4,250 6,300 7,000 10,400 14,000 8,500 16,000 11,700 15,100 13,500 The chief administrator has informed her assistant that the utilities cost is probably a mixed cost that will have to be broken down into its variable and fixed cost elements by use of a scattergraph. The assistant feels, however, that if an analysis of this type is necessary, the high- low method should be used because it is easier and quicker to use than other methods. REQUIRED: 1. Using the high-low method, estimate a cost formula for utilities. Express the formula in the form Y = a +bX 2. Draw a scattergraph and interpret your values. 3. Perform a regression analysis and interpret your values. 4. Estimate the total utilities cost for November if the hospital plans to perform 167 scans. Calculate the total estimated utilities cost of the hospital plans to perform 55 scans. Round your answer to the nearest $1. Which method did you use FIRST to estimate the total utilities cost for Mountain View Hospital? Account analysis method Engineering approach High-Low method Scattergraph Method Least-Squares Regression Method Which month did you select as the high point in your calculations? January February O March April May O June July August September October What is the variable cost per unit based on the high-low method? Round answer to the nearest $. What is the total fixed cost component of the utilities cost based on the high-low method? Your answer should be to the nearest s. Which month did you select for the low point in your calculations? O January February March April O May 0 June July August September O October Calculate the total estimated utilities cost if the hospital plans to perform 299 scans. Round your answer to the nearest $