The Lakeshore Hotel's occupancy-days and custodial supplies expense over the last seven months were as follows: Occupancy- Days 18,500 12,900 15,600 зе, еее 27,000 18,800 15,500 Custodial Supplies Expense $ 14,220 15,500 18,280 23,900 29,100 21,190 19,250 Month March April May June July August September Occupancy-days are a measure of the overall activity at the hotel. For example, when a guest stays at the hotel for three days, it is counted as three occupancy-days. Required: 1. Using the high-low method, estimate a cost formula for custodial supplies expense. (Round the "Fixed cost" to the nearest dollar amount and "Variable cost" to 2 decimal places.) Y =

The Lakeshore Hotel's occupancy-days and custodial supplies expense over the last seven months were as follows: Occupancy- Days 18,500 12,900 15,600 зе, еее 27,000 18,800 15,500 Custodial Supplies Expense $ 14,220 15,500 18,280 23,900 29,100 21,190 19,250 Month March April May June July August September Occupancy-days are a measure of the overall activity at the hotel. For example, when a guest stays at the hotel for three days, it is counted as three occupancy-days. Required: 1. Using the high-low method, estimate a cost formula for custodial supplies expense. (Round the "Fixed cost" to the nearest dollar amount and "Variable cost" to 2 decimal places.) Y =

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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