Pondview Apartments is a $600-$unit apartment complex. When the apartments are $90\%$ occupied, monthly operating costs total $$205,480.$ When occupancy dips to $80\%,$ monthly operating costs fall to $$201,760.$ The owner of the apartment complex is worried because many of the apartment residents work at a nearby manufacturing plant that has just announced it will close in three months. The apartment owner fears that occupancy of her apartments will drop to $60\%$ if residents lose their jobs and move away. Assuming the same relevant range, what can the owner expect her operating costs to be if occupancy falls to $60\%?$

Let'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

Fixed cost

Use the high$-$low method to determine Pondview's operating cost equation.

$y=$

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