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The Cheyenne Hotel in Big Sky , Montana, has accumulated records of the total electrical costs of the hotel and the number of occupancy -
The Cheyenne Hotel in Big Sky Montana, has accumulated records of the total electrical costs of the hotel and the number of
occupancydays over the last year. An occupancyday represents a room rented for one day. The hotel's business is highly seasonal,
with peaks occurring during the ski season and in the summer.
Required:
Using the highlow method, estimate the fixed cost of electricity per month and the variable cost of electricity per occupancyday.
Do not round your intermediate calculations. Round your Variable cost answer to decimal places and Fixed cost element
answer to nearest whole dollar amount.
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