The Aust Corporation has gathered the following data on its copy machine costs for the first eight months of the year. Month Number of Copies Total Copy Cost January 46,000 $4,600 February 42,000 $4,400 March 58,000 $5,300 April 64,000 $6,300 May 57,000 $5,000 June 62,000 $5,800 July 68,000 $6,500 August 71,000 $7,300 (a) Incorrect answer iconYour answer is incorrect. Assuming the line intersects the y-axis at $500 and using the July activity levels what is the equation of the line that would be drawn for a scattergraph. (Round variable cost to 3 decimal places, e.g. 15.251 and fixed cost to 0 decimal places, e.g 1,234.)

Respuesta :

Answer:

following a linear equation:

y = mx + b

if we use July's data:

y = $0.0882m + 500

where

y = total cost

m = number of copies

the slope = 1 / 11.3333 = 0.0882

Explanation:

Month          Number of Copies       Total Copy Cost

January            46,000                          $4,600

February          42,000                          $4,400

March              58,000                           $5,300

April                 64,000                           $6,300

May                  57,000                          $5,000

June                62,000                           $5,800

July                 68,000                           $6,500

August            71,000                            $7,300

y = mx + b

6,500 = 68,000x + 500

x = variable cost per unit = (6,500 - 500) / 68,000 = $0.088235294 per copy ≈ $0.0882 per copy

the equation would be:

y = $0.0882m + 500

the slope = 1 / 11.3333 = 0.0882