The Lakeshore Hotels guest-days of occupancy and custodial supplies expense over the last seven months were:

Month	Guest-Days of Occupancy		Custodial Supplies Expense
March	6,500		$	11,100
April	5,000		$	10,200
May	7,500		$	11,700
June	9,000		$	12,600
July	11,000		$	13,800
August	8,000		$	12,000
September	4,000		$	9,600

Guest-days is a measure of the overall activity at the hotel. For example, a guest who stays at the hotel for three days is counted as three guest-days.

Required:

1. Using the high-low method, estimate a cost formula for custodial supplies expense. (Do not round your intermediate calculations and Round the Variable cost per guest-day to 2 decimal points)

	Guest Days	Custodial Supply Expense
High Activity Level
Low Activity Level
Change
Variable Cost Per Guest-day		(Per Guest Day)
Fixed Cost Per Month

2. Using the cost formula you derived above, what amount of custodial supplies expense would you expect to be incurred at an occupancy level of 11,200 guest-days? (Do not round your intermediate calculations.)

Variable Cost	________
Fixed Cost
Total Cost