Budgeting & Finance - healthcare please provide formulas(s) as work needs to be transferred to excel.
Cost Behavior: Problem 5
The Cardiology Department has provided you with the following data in its annual report:
Month Number of EKGS Costs
January...................... 175 $3,000
February.................... 225 3,600
March......................... 275 4,300
April............................ 175 3,800
May............................ 200 2,700
June........................... 225 3,200
July............................ 300 4,250
August........................ 325 4,400
September................. 275 4,100
October...................... 200 3,150
November.................. 150 2,650
December.................. 175 2,750
1. Use the scattergraph method to determine the fixed and variable components of admitting costs. Use Excel or Sheets to show your work.
2. Use the sheet function to show the equation. Determine r2. Be sure to explain your findings in term of the fixed and variable cost. Interpret the r2.