Hook Company Wants to Develop a Cost Estimating Equation for Its

question 42

Multiple Choice

Hook Company wants to develop a cost estimating equation for its monthly cost of electricity. It has the following data: $$\begin{array} { c c c } \text { Month } & \text { Cost of Electricity } & \text { Direct labour Hours } \\\text { January } & £ 8,100 & 750 \\\text { April } & 9,000 & 850 \\\text { July } & 10,200 & 1,000 \\\text { October } & 8,700 & 800\end{array}$$ Using the high-low method, which of the following is the best equation?

• A)Y = £900 + £12.00X
• B)Y = £900 + £8.40X
• C)Y = £1,800 + £8.40X
• D)Y = £2,400 + £8.40X

---

Definitions:

Primary Process

In psychoanalytic theory, the unconscious thought processes that are primitive and symbolic, driven by the pleasure principle.

Heredity

The passing on of physical or mental characteristics genetically from one generation to another.

Dominant Source

The primary or most influential point of information or authority within a context or system.

Sensual Pleasure

Enjoyment derived from the gratification of the senses, often related to touch, taste, smell, sight, and hearing.