McCartney Services Has a Customer Web Site to Take Orders,answer

question 126

Essay

McCartney Services has a customer Web site to take orders,answer customer questions,and address customer complaints.The costs associated with this customer Web site over the past six months are listed below:

Management at McCartney Services believes that the customer Web site costs are a mixed cost and would like to use the high-low method to estimate their future costs using the number of Web site hits in any given month as the cost driver.
Required:
1.Using the high-low method,estimate the variable cost per Web site hit and the monthly fixed costs associated with the customer Web site.
2.Use the results you computed in Requirement 1 to write the cost equation to estimate the customer Web site expenses for McCartney Services.
3.If McCartney Services expects 9,500 Web site hits for July,what are their anticipated customer Web site costs for July?

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Definitions:

Positive Reinforcer

A stimulus that, when presented after a behavior, increases the likelihood of that behavior occurring again.

Punisher

A stimulus or event that follows a behavior and decreases the likelihood of that behavior occurring in the future.

Conditioned Response

In behavioral psychology, the learned response to a previously neutral stimulus that has become conditioned.

Aboriginal Quota

A policy or practice aimed at ensuring a certain percentage or number of positions are reserved for indigenous people, in contexts such as education or employment.