Tempe Office Services and Supplies (TOSS) provides various products and services in the Tompe Research Park, home to numerous high-tech 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 401 49045 0.884502 Internet Recuare Number of observations X coellicient 0.065653 The regression output was based on the flowing data: Number of Color Copies Color Copy Department Month 23,800 September 20,950 1,780 November December 20,100 1,750 Required: 1. What is the variable cost per color copy for TOSS? Enter your answer in cents, rounded to 1 decimal place fie., $0.076 should be entered as 7.6)). Variable Cost per color copy fincante) 2. What is the fixed cost for the Color Copy Department? (Round your answer to 2 decimal places.) Fixed cost per Morth 3. Based on the regression outout obtained by the contralor what cost famula should be used to estimate future total costs for the Color Copy Department? Enter answer as an equation in the formaty=a + b to 3 decimal places.) (Round your fixed costs nd your variable cost per unit Total Cost D e r Number of Cour S-a. Use the high low method to estimate the variable and fixed costs for the Color Copy Department. (Round your answers to 2 decimal places.) Variable Contar Color Copy Fred Cast 5-b. What cost formula should be used based on your analysis? Enter answer as an equation in the form of y = a + bx. (Round your intermediate calculations and your final answers to 2 decimal places.) Total Cost = (per Number of Color Copies) 6. If 23,700 copies are made during January, what is the total cost predicted by each method? (Use the answers that you provided in parts 3 and 5-b and round your final answers to 2 decimal places.) Total Cost Regression High-Low Tempe Office Services and Supplies (TOSS) provides various products and services in the Tompe Research Park, home to numerous high-tech 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 401 49045 0.884502 Internet Recuare Number of observations X coellicient 0.065653 The regression output was based on the flowing data: Number of Color Copies Color Copy Department Month 23,800 September 20,950 1,780 November December 20,100 1,750 Required: 1. What is the variable cost per color copy for TOSS? Enter your answer in cents, rounded to 1 decimal place fie., $0.076 should be entered as 7.6)). Variable Cost per color copy fincante) 2. What is the fixed cost for the Color Copy Department? (Round your answer to 2 decimal places.) Fixed cost per Morth 3. Based on the regression outout obtained by the contralor what cost famula should be used to estimate future total costs for the Color Copy Department? Enter answer as an equation in the formaty=a + b to 3 decimal places.) (Round your fixed costs nd your variable cost per unit Total Cost D e r Number of Cour S-a. Use the high low method to estimate the variable and fixed costs for the Color Copy Department. (Round your answers to 2 decimal places.) Variable Contar Color Copy Fred Cast 5-b. What cost formula should be used based on your analysis? Enter answer as an equation in the form of y = a + bx. (Round your intermediate calculations and your final answers to 2 decimal places.) Total Cost = (per Number of Color Copies) 6. If 23,700 copies are made during January, what is the total cost predicted by each method? (Use the answers that you provided in parts 3 and 5-b and round your final answers to 2 decimal places.) Total Cost Regression High-Low
