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cc84sc cc84sc
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A year ago

Grawburg Incorporated maintains a call center to take orders, answer questions, and handle complaints. The costs of the call center for a number of recent months are listed below:

Calls TakenCall Center Cost
April5,560$ 60,278
May5,529$ 60,051
June5,570$ 60,354
July5,565$ 60,295
August5,531$ 60,056
September5,522$ 59,906
October5,566$ 60,232
November5,552$ 60,137

Management believes that the cost of the call center is a mixed cost that depends on the number of calls taken.

Required:

Estimate the variable cost per call and fixed cost per month using the least-squares regression method. (Round the "Variable cost" to 2 decimal places and the "Fixed cost" to the nearest dollar amount.)

Textbook 
Introduction to Managerial Accounting: Brewer Edition: 9e

Introduction to Managerial Accounting: Brewer Edition: 9e


Edition: 9th
Authors:
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flash33101flash33101
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A year ago
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