Problem: A moving company detailed the miles driven and total moving van costs for the past 5 months as follows:
Number of Miles Total Vehicle Costs
Sept. 3,000 $4,800
Oct. 3,500 5,200
Nov. 5,000 6,100
Dec. 4,000 5,000
Jan. 6,000 6,000
In order to budget vehicle costs for the upcoming season, the mover wants to estimate total vehicle costs using the high/low method.
Please use MS EXCEL to determine:
Q1. What is the equation to predict estimated total vehicle costs?
Q2. If the Company expects to drive 9,000 miles in February., what will be the estimated total vehicle costs?