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Required Information Exercise 5A-2 (Algo) Least-Squares Regression [LOS-11] (The following information applies to the questions displayed below) Bargain Rental Car offers rental cars in an

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Required Information Exercise 5A-2 (Algo) Least-Squares Regression [LOS-11] (The following information applies to the questions displayed below) Bargain Rental Car offers rental cars in an off-airport location near a major tourist destination in California. Management would like to better understand the vartable and fixed portions of its car washing costs. The company operates its own car wash facility in which each rental car that is returned is thoroughly cleaned before being released for rental to another customer. Management belleves that the variable portion of its car washing costs relates to the number of rental returns. Accordingly, the following data have been compiled: Month Rental Returns Car Wash Costs January 2.400 $ 11,300 February 2,500 $13.300 March 2.300 $ 12.10 April 3,100 $ 14,700 May 7.700 3 16.5 June 5.100 $ 23,9 July 5. Gee $ 22,50 August 5, $ 22, See Septeur $ 27.100 October ole $22.de November 5 11.ee 2, 15.00 4.700 Exercise 5A-2 Part 2 (Algo) 2. Using least squares regression estimate the variable cost perrontal return and the monthly fixed cost incurred to wash cars. (Round Fixed cost to the nearest whole dollar amount and the Variable cost per unit to 2 decimal places) Exercise 5A-2 (Algo) Least-Squares Regression (LO5-11) [The following information applies to the questions displayed below.) Bargain Rental Car offers rental cars in an off-airport location near a major tourist destination in California. Management would like to better understand the variable and fixed portions of its car washing costs. The company operates its own car wash facility in which each rental car that is retumed is thoroughly cleaned before being released for rental to another customer. Management believes that the variable portion of its car washing costs relates to the number of rental returns Accordingly, the following data have been compiled: Month January February March April May June July August September October November December Rental Returns 2,488 2,500 2,800 3,18 3,780 5,180 5,500 5, be 4,700 4,10 2,200 2,900 Car Wash Costs $ 11,3ee $ 13,300 $ 12,100 $ 14,78 $ 16,500 $ 23,900 $ 22,500 $ 22,90 $ 23,00 $ 22,00 5 11.00 5 15,500 Exercise 5A-2 Part 2 (Algo) 2. Using least squares regression, estimate the variable cost per rental return and the monthly fixed cost incurred to wash cars. (Round Fixed cost to the nearest whole dollar amount and the Vorlable cost per unit to 2 decimal places.) Foxed cost per month Vanable cost per rental return Prov o Question 12 - Chap

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