The cost data for BC Billing Solutions for the year 2020 is as follows:
BC Billing Solutions data
Month Invoices Processed Overtime Wages
January 12,000 $7,760
February 8,000 $6,800
March 1,000 $6,000
April 7,000 $6,100
May 5,000 $6,200
June 10,000 $7,300
July 11,000 $7,400
August 9,000 $6,900
September 5,000 $6,500
October 9,000 $6,600
November 8,000 $6,800
December 11,000 $7,450
Using the high-low method, express the company’s overtime wages as an equation where x represents the numbers of invoices processed. Y=$mx + b. What are the fixed costs?
What are the variable costs per invoice processed?
Predict the overtime wages if 9,000 invoices are processed.
Predict the overtime wages if 6,500 invoices are processed.