Visual-Fit Method: Veterinary Laboratory The West Vancouver Veterinary Laboratory performs a variety of diagnostic tests on commercial and domestic animals. The lab has incurred the following costs over the past year: Plot the data above in a scatter diagram. Assign cost to the vertical axis and the number of diagnostic tests to the horizontal axis. Visually fit a line to the plotted data. Using the visually fit line, estimate the monthly fixed cost and the variable cost per diagnostic test. Account-Classification Method: Food Processing (LO1, 2, 5) Winnipeg Meat Company produces one of the best-selling sausage products. The company's controller used the account-classification method to compile the following information. Depreciation schedules revealed that monthly depreciation on buildings and equipment is $19,000. Inspection of several invoices from meat packers indicated that meat costs the company $1.10 per kilogram of sausage produced. Wage records showed that compensation for production employees costs $0.70 per kilogram of sausage produced. Payroll records showed that supervisory salaries total $10,000 per month. Utility bills revealed that the company incurs utility costs of $4,000 per month plus $0.20 per kilogram of sausage produced. Classify each cost item as variable, fixed, or mixed. Write a cost formula to express the cost behaviour of the firm's production costs. (Use the formula Y=a+ bX, where Y denotes production cost and X denotes quantity of sausage produced.)