Assume the local dhl delivery service hub has the following

Assume the local dhl delivery service hub has the following.

Assume the local DHL delivery service hub has the following information available about fleet miles and operating costs:

High-Low Cost Estimation

Assume the local DHL delivery service hub has the following information available about fleet miles and operating costs:

Year Miles Operating Costs
2006 556,000 $177,000
2007 696,000 212,000

Use the high-low method to develop a cost-estimating equation for total annual operating costs. (Let X = annual fleet miles.)
Total annual costs =

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