Please answer both questions thanks.
The Cheyenne Hotel in Big Sky, Montana, has accumulated records of the total electrical costs of the hotel and the number of occupancy-days over the last year. An occupancy-day represents a room rented for one day. The hotel's business is highly seasonal, with peaks occurring during the ski season and in the summer. Month Occupancy-Days Electrical Costs January 3,400 $ 9,536 February 4,150 $ 10,180 March 3,080 $ 9,184 April 2,230 $ 7,136 May 1,570 $ 5,024 June 1,910 $ 6,112 July 3.BBO $ 9,997 3,830 $ 9,904 September 2.060 $ 6,592 October 1,940 $ 6.208 November 1,050 $ 3,360 December 2.710 $ 8,168 August Required: 1. Using the high-low method, estimate the fixed cost of electricity per month and the variable cost of electricity per occupancy-day. (Do not round your intermediate calculations. Round your Variable cost answer to 2 decimal places and Fixed cost element answer to nearest whole dollar amount.) Variable cost of electricity Fixed cost of electricity per occupancy-day per month produce a 2. What other factors in addition to occupancy-days are likely to affect the variation in electrical costs from month to month? (You may select more than one answer. Single click the box with the question mark check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Systematic factors like guests, switching off fans and lights. Number of days present in a month Income taxes paid on hotel Income. Seasonal factors like winter or summer. Fixed salary paid to hotel receptionist Miller Company's contribution format income statement for the most recent month is shown below: Sales (41,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Total $ 320,000 205,000 123,000 42,000 $ 81,000 Per Unit $ 8.00 5.00 $ 3.00 Required: (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 15%? 2. What is the revised net operating income if the selling price decreases by $1.40 per unit and the number of units sold increases by 25%? 3. What is the revised net operating income if the selling price increases by $1.40 per unit, fixed expenses increase by $6,000, and the number of units sold decreases by 8%? 4. What is the revised net operating income if the selling price per unit increases by 20%, variable expenses increase by 20 cents per unit, and the number of units sold decreases by 11%? Answer is complete but not entirely correct. 1. $ 99,450 2. $ 40,000 Net operating income Net operating income Net operating income Net operating income 3. $ 117,968 4. $ 89,364
