Sablan Inc

question 17

Essay

Sablan Inc. maintains a call center to take orders, answer questions, and handle complaints. The costs of the call center for a number of recent months are listed below: Management believes that the cost of the call center is a mixed cost that depends on the number of calls taken.
Required:
Estimate the variable cost per call and fixed cost per month using the least-squares regression method.

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Definitions:

Stress

A state of mental or emotional strain or tension resulting from adverse or demanding circumstances.

Diathesis-Stress Model

A psychological theory that explains behavior as both a result of biological and genetic vulnerability and environmental stress factors.

Psychological Functioning

Refers to the mental processes and behaviors that include cognitive capabilities, emotional states, and social behavior.

Inherent Vulnerable

A state of being naturally exposed or susceptible to being harmed or adversely affected due to intrinsic characteristics or conditions.