Question

Total costs at a restaurant are listed below:

	Customers Served				Total Cost
March		11,662			$	28,371
April		11,458			$	28,309
May		11,990			$	28,469
June		13,500			$	28,922
July		11,722			$	28,389
August		11,208			$	28,234
September		12,002			$	28,473
October		11,693			$	28,380
November		11,841			$	28,424

The restaurant's total cost is a mixed cost that depends on customers served. The restaurant's management uses the high-low method to estimate the variable and fixed components of this cost. If the management believes that the restaurant will be able to serve 16,000 customers in December, the restaurant's estimated total cost for December is closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

• $29,672

• $29,807

• $31,894

• $60,230

Answer 1