• Zenith Logistics is analyzing its delivery costs related to the number of deliveries.
• Data Provided:
  • Month 1: Total Costs: $20,000, Deliveries: 400
  • Month 6: Total Costs: $30,000, Deliveries: 600
• Tasks:
  • Apply the High-Low Method to determine the variable cost per delivery and fixed costs.
  • Develop a cost equation.
  • Predict the total costs for 800 deliveries.
  • Analyze the impact of optimizing delivery routes on overall costs.