The data below have been taken from the cost records of the Halifax General Hospital. The data relate to the costs of admitting patients at various levels of patient activity: 1. 2. 3. Month 4. May......... June Requirements: Using the high-low method, and based upon the data collected: (a) estimate the variable cost per admission. July............ August .......... September...... October............. November.......... December...... *********** Number of Patients Admitted 3,600 3,800 2,900 3,200 3,300 2,600 2,200 3,500 Admitting Department Costs $ 29,400 $ 28,700 $ 27,400 $ 28,000 $ 28,600 $ 26,200 $ 25,600 $ 29,300 (b) estimate the fixed costs for admission. (c) estimate the cost formula for admissions (cost formula is in the format of Y = a + bx). Using the cost formula you derived above, what admission costs would you expect to be incurred during a month in which there are 2,750 hospital admissions? Prepare a scattergraph plot using the data. Plot cost on the vertical axis and activity on the horizontal axis. Add the visual best-fit "trendline" to fit a line through the points on your scattergraph. Also add the "high-low trendline" so that you can compare the two trendlines and the data set points in Requirement 4. (Hint: You can either use software, such as Microsoft Excel, or Google Sheets, or draw the scattergraph plot on your computer using a drawing program (Microsoft Paint, or similar) or you can draw and plot the points on a piece of paper by hand and take a picture and insert the picture into your document.) Scrutinize the points on your scattergraph, and explain why the high-low method would or would not yield an accurate cost formula in this situation.