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please help woth Rapid Lube question Use the high-low method to determine the variable and fixed cost components of Rapid Lube's operating costs. Use this
please help woth Rapid Lube question
Use the high-low method to determine the variable and fixed cost components of Rapid Lube's operating costs. Use this information to project the monthly operating costs for a month in which the company performs 3,100 oil changes. Click the icon to view the data.) E 5.00 Use the high-low method to determine the variable and fixed costs components of Rapid Lube's operating cost equation. First identify the formula and calculate the variable cost component (slope). (Round your answer to the nearest cent) Change in costs Change in volume Variable cost per unit $ 5,000 1,000 $ Next identify the formula and compute the fixed cost component (the vertical intercept) using the costs for the highest level of activity (Round your answers to the nearest whole number) Total mixed (operating) cost Total variable cost Total fixed costs $ 16,500 23,000 Complete Rapid Lube's operating cost equation (Enter the variable cost to the nearest cent and the fixed cost to the nearest whole dollar.) y = $ 5.00 + $ 23,000 Use your answer from above to predict total monthly operating costs if Rapid Lube performs 3, 100 oil changes. (Round your answer to the nearest whole dollar.) The total monthly operating costs if Rapid Lube performs 3,100 oil changes is Data Table 39,500 Number of Oil Changes Operating Expenses 2,900 $ 38,500 ..... 2,300 $ 34,500 Month January February March April May 2,500 $ 35,500 35,000 2,400 $ ..... $ 39,500 Jar All Help Check Answer HERRE 3,300 2,600 $ June 36,000 ER Step by Step Solution
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