The following information for advertising and sales has been established over the past six months: Using the high-low method which of the following is the correct equation for linking advertising and sales from the above data?
A.
Sales revenue = 62,500 + (25 × advertising expenditure)
B.
Advertising expenditure = – 2,500 + (0.04 × sales revenue)
C.
Sales revenue = 95,000 + (20 × advertising expenditure)
D.
Advertising expenditure = – 4,750 + (0.05 × sales revenue)