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The graph below shows monthly data collected on facilities maintenance department costs and on the number of patient-days serviced over the past year. 50000 Line
The graph below shows monthly data collected on facilities maintenance department costs and on the number of patient-days serviced over the past year. 50000 Line of Best Fit 45000 40000 35000 30000 DEPARTMENT COSTS 25000 20000 15000 10000 5000 1000 2000 3000 4000 NUMBER OF PATIENT-DAYS 5000 (1 mark) a) What is the estimated total fixed cost? b) Using o & 3,000 patient-days, calculate the variable cost per patient-day (3 marks) (2 marks) c) What would be the cost function for the entity? d) What is the total cost at an activity level of 6,000 customer patient-days? (2 marks)
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