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Tempe Office Services and Supplies ( TOSS ) provides various products and services in the Tempe Research Park, home to numerous high - tech and
Tempe Office Services and Supplies TOSS provides various products and services in the Tempe Research Park, home to numerous hightech and biotech companies. Making color copies is one of its most popular and profitable services. The controller performed a regression analysis of data from the Color Copy Department with the following results:
Intercept
Rsquared
Number of observations
X coefficient
The regression output was based on the following data:
Month Number of Color Copies Color Copy Department Costs
July $
August
September
October
November
December
Required:
What is the variable cost per color copy for TOSS?
What is the fixed cost for the Color Copy Department?
Based on the regression output obtained by the controller, what cost formula should be used to estimate future total costs for the Color Copy Department? Enter answer as an equation in the form of y a bx
a Use the highlow method to estimate the variable and fixed costs for the Color Copy Department.
b What cost formula should be used based on your analysis? Enter answer as an equation in the form of y a bx
If copies are made during January, what is the total cost predicted by each method?
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