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You have been hired by the Purple Penguins, which is a women's soccer team. The Penguins are popular with area businesses. Prior to COVID, much
You have been hired by the Purple Penguins, which is a women's soccer team. The Penguins are popular with area businesses. Prior to COVID, much of their revenue came from renting luxury suites called "Penalty Boxes." The team estimates the following weekly costs for "Penalty Boxes" rentals: Week Boxes Rented Costs 1 11 $18,500 2 25 $30,500 3 10 $23,000 4. 12 $25,000 5 15 $29,000 Using the high low method answer the following question for the Penguins. Give the model that predicts the weekly cost of luxury boxes based upon the number of boxes rented using the high low method - appropriately label the variables. Be sure to state it as a model with well-labeled variables. ROUND EACH NUMBER TO THE NEAREST PENNY) Question 3 2 pts Using the high low method answer the following question Based upon your calculations above, what would you expect the weekly total fixed costs to be with 14 boxes rented? (Round to the nearest penny. Your answer should be in the from $99.99)
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