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Business, 12.07.2019 18:00 justhereforanswers13

The cost function in requirement 1 is an estimate of how costs behave within the relevant range, not at cost levels outside the relevant range. if there are no months with zero miles driven represented in the delivery cost account in the general ledger, data in that account can be used to estimate the fixed costs at the zero miles driven level. the constant component of the cost function provides the best available starting point for a straight line that approximates how a cost behaves within the relevant range .

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The cost function in requirement 1 is an estimate of how costs behave within the relevant range, not...

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