Chapter 5.A, Problem 10P

To determine

Scatter Graph and Least square regression: By using the scatter graph plot and least-squares regression, the company can segregate the aggregate amount of total cost into variable cost and fixed cost.

1. The preparation of scatter graph plot.

2. The estimated variable cost per section and the total fixed cost per term and express it in the form Y = a + bX.

3. The expected total cost for finance 101.