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

Month	Occupancy-Days	Custodial Supplies Expense
March	6,600	$	11,960
April	7,800		11,730
May	13,700		16,520
June	20,500		20,300
July	25,200		23,120
August	17,600		17,210
September	14,900		16,290

Occupancy-days are a measure of the overall activity at the hotel. For example, when a guest stays at the hotel for three days, it is counted as three occupancy-days.

Required:

1. Using least-squares regression (you may use a spreadsheet to compute the fixed and variable costs), estimate a cost formula for custodial supplies expense. (Round the "Fixed cost" to the nearest dollar amount and "Variable cost" to 2 decimal places.)

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 11,800 occupancy-days? (Round the "Fixed cost" to the nearest dollar amount.)