The manager of Sami D$\text{'}$s Soft Pretzels has reviewed the monthly operating costs for the first year of operations. Her costs ranged from $$50,500$ for $16,250$ pretzels to $$66,250$ for $21,500$ pretzels.

Using the high$-$low method, calculate the variable cost per pretzel.

Using the high$-$low method, calculate the total fixed costs

Write the cost equation and calculate the operating costs for $1,500,3,000,$ and $5,000$ pretzels. $($remember$,$ email and ask if you don't understand$)$

Draw a graph using graph paper illustrating your total cost under this plan. Please use the picture at the end of these instructions as a quide. Label the axes, and show your costs at $1,500,3,000,$ and $5,000$ pretzels. You will need to calculate revenues at $3$ points of volume as well. There is a checklist at the end of the document to make sure you include all required aspects on your graph. Watch the video provided on BlackBoard for additional help

Calculate$-$the breakeven point if each pretzel sells for $$3\mathrm{.}50.($double check this point is occurting on your graph. If not, double check your lines$)$

${?}^{****}$ This is just an illustration of a graph. Do not use it as yours. You will need to create yours on graph paper as indicated in the instructions above. Do NOT complete the graph digitally.

$**$ Show your equation here $**$

Include on the graph $($each with a different color and identified on the key$/$legend$.$ Each line should show the $3$ plots used to draw the line.$)$:

Total Revenue Line

Break Even Point

Total Cost Line

Shaded Profit area

Fixed Cost Line

Shaded Loss area