56. The following activity and cost data that were provided by Hoist Corporation would help in estimating its future maintenance costs: UnitsMaintenance cost3P1,3507P1,59011P1,92015P2,100 Using the least squares regression method to estimates the cost formula, the expected total cost for an activity level of 10 units would be closest to:Group of answer choicesP1,837.50P1,808.50P1,787.52P1,799.25P1,745,46P1,804.50

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Answered: Using the least squares regression…

Using the least squares regression method to estimates the cost formula, the expected total cost for an activity level of 10 units would be closest to:

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 2DQ: Which of the following costs would be classified as variable and which would be classified as fixed,...

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Concept explainers

Pricing

Pricing is used as a term in finance and economics, pricing is the process of fixing a value for a product or a service. Pricing establishes a value for a product or service that the customer has to pay. A business can choose from different strategies while deciding to set prices.

Question

56.

The following activity and cost data that were provided by Hoist Corporation would help in estimating its future maintenance costs:

Units	Maintenance cost
3	P1,350
7	P1,590
11	P1,920
15	P2,100

Using the least squares regression method to estimates the cost formula, the expected total cost for an activity level of 10 units would be closest to:

Group of answer choices

P1,837.50

P1,808.50

P1,787.52

P1,799.25

P1,745,46

P1,804.50

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