11. The high-low method uses total costs incurred by a company at its highest and lowest activity levels to classify mixed costs into fixed and variable components for what purpose? a. To provide the exact variable cost per unit b. To determine the profitability of products being sold c. To identify fixed costs at various activity levels d. To estimate costs in order to approximate future projected costs 12. Which of the following is NOT reported on the Income Statement? a. Total Retained Earnings b. Gross Profit c. Revenues d. Selling Expenses 13. A variable cost is best described as a cost that a. will change in total in direct proportion with changes in the level of activity. b. will change on a per unit basis with changes in the activity level. c. will not change in total despite any changes in the level of activity. d. all of the above describe a variable cost. 14. Which of the following is NOT a fixed cost in relation to production activity level? a. Insurance b. Production manager salary c. Hourly production labour d. Rent