[The following information applies to the questions displayed below.]

Caiman Distribution Partners is the Brazilian distribution company of a U.S. consumer products firm. Inflation in Brazil has made bidding and budgeting difficult for marketing managers trying to penetrate some of the country's rural regions. The company expects to distribute 450,000 cases of products in Brazil next month. The controller has classified operating costs (excluding costs of the distributed product) as follows:

Account	Operating Cost			Behavior
Supplies	$	1,261,000		All variable
Supervision		207,000		$	148,000	Fixed
Truck expense		1,200,000		$	190,000	Fixed
Building leases		870,000		$	556,000	Fixed
Utilities		205,000		$	133,000	Fixed
Warehouse labor		840,000		$	149,000	Fixed
Equipment leases		765,000		$	589,000	Fixed
Data processing equipment		941,000		All fixed
Other		844,000		$	377,000	Fixed
Total	$	7,133,000

Although overhead costs were related to revenues throughout the company, the experience in Brazil suggested to the managers that they should incorporate information from a published index of Brazilian prices in the distribution sector to forecast overhead in a manner more likely to capture the economics of the business.

Following instructions from the corporate offices, the controller's office in Brazil collected the following information for monthly operations from last year:

Month	Cases	Price Index	Operating Costs
1	244,000	105	$5,699,159
2	341,000	109	5,806,658
3	245,000	109	5,849,925
4	401,000	112	5,927,637
5	302,000	129	5,939,155
6	346,000	114	6,043,384
7	360,000	125	5,918,515
8	435,000	133	6,133,888
9	348,000	139	6,126,150
10	419,000	139	6,186,645
11	384,000	131	6,208,819
12	436,000	132	6,362,275

These data are considered representative for both past and future operations in Brazil.

3.

Required information

c-1. Enter the regression coefficients. (Round "Cases" to 5 decimal places.)

Intercept-

Cases-

c-2. Compute the estimation of operating costs assuming that 450,000 cases will be shipped next month by using the results of a simple regression of operating costs on cases shipped. (Round variable costs per unit to 5 decimal places. Round the intercept and final answer to the nearest whole dollar amount.)