The Stephens Leadership Center Provides Training Seminars in Personal Development

Essay

The Stephens Leadership Center provides training seminars in personal development and time management. The company is relatively new and management is seeking information regarding the Center's cost structure. The following information has been gathered since the inception of the business in January of the current year:
$\begin{array}{lcc} & \text { Seminars Offered } & \text { Costs Incurred } \\\text { January } & 10 & \$ 17,000 \\\text { February } & 12 & \$ 18,800 \\\text { March } & 15 & \$ 20,900 \\\text { April } & 18 & \$ 23,762 \\\text { May } & 16 & \$ 21,800 \\\text { June } & 13 & \$ 19,400\end{array}$ Required:
a. Using the high-low method, estimate the variable cost per seminar and the total fixed cost per month.
b. Using the least-squares method, estimate the variable cost per seminar and the total fixed cost per month.