High-Low Points Method. Sam's Supermarket considers electricity a mixed cost. By using a scatter chart, Sam has

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High-Low Points Method. Sam's Supermarket considers electricity a mixed cost. By using a scatter chart, Sam has determined that there is a relationship between electricity expense and the number of hours per month the store is open. During the past year, electricity expense totaled $3,600 in the month that the store was open 600 hours and $2,100 in the month that it was open 300 hours. What fixed monthly cost and hourly rate should Samuse to estimate electricity expense for the upcoming year?

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Managerial Accounting

ISBN: 9780759314078

6th Edition

Authors: Pierre L. Titard

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