Question
The following information is available for maintanence costs for the first six months of the year. Month Production Volume Maintanence Cost January 10,000 $77,000 February
Intercept 48,034.62 Slope 3.12 Activity Variable Units of Production Volume
Using the information from the computer printout, develop a cost function that can be used to estimate maintenance costs at different volume levels and estimate the maintenance costs if expected production for the next month is 15,000 units. (15 points) |
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