The sales manager of ABC Company is checking to see if there is any relationship between promotional costs and ticket revenues at an arena. The manager obtains the following data for the past 9 months: Month April May June July August September October November December Ticket Revenues Promotional Costs $220,000 $55,000 290,000 68,000 340,000 83,000 500,000 93,000 450,000 103,000 470,000 113,000 560,000 123,000 690,000 183,000 756,500 200.000 Required: 1) Using Microsoft Excel, create and print a scatter chart of the data presented above. The scatter chart should include the following a. Cost driver as x-axis b. Costs as y-axis C. Chart legend at bottom of chart d. Appropriate titles & labels e. Regression line of the data points f. Regression formula printed on the chart 2) Using the regression formula determined from the above chart, estimate the total operating costs assuming that promotional costs for January were estimated to be $175,000 3) Using the data above, apply the high-low method to determine the estimating cost function with promotional costs as the cost driver. 4) If January's estimated promotional costs total $175,000, what are the total estimated costs of the arena using the cost function determined by the high-low method? 5) Using the memo template in Microsoft Word, write a memo to the arena manager explaining the cost behavior for the arena. Your memo should include a discussion of a. The overall behavior of the operating costs as they relate to Promotional Costs as the cost driver, ie the cause-and-effect relationship. Can the cost behavior be adequately described by the cost function? Discuss economic plausibility, goodness of fit, and the significance of the independent variable. b. The cost function determined using the high-low method C. The cost function determined using the regression method d. Which method provides a better estimation of costs