45 Year 2017 2016 2015 2014 2013 Sales in Units Billing Costs 5,692 5,717 5,361 5,293 5,290 23,580$ 23,900$ 21,000$ 23,000$ 20,850$ 47Billing costs for the past 5 years, along with total units sold is presented 48 in the table to the right: 49 51 Use the high-low method to calculate the following: 52 Show your work in this area: ANSWER: 53 a. Variable billing cost per unit 5717-5290/23900-20850- 0.14 56 b. Total fixed billing costs 59 c. Total cost equation for billing costs 60 61 d. Determine total billing costs for 2018 based on the cost equation in 2)c. above and the total number of units sold in 2018. 63 64 65 66 The company has been operating at a loss for several years. Management is trying to determine what it can do to 67 make next year profitable. 68 Insert your for 2)d. in the inement above in the blank provided for Billing (Unknown B) ---- 70 Redo Baron's 2018 income statement in contribution format, showing both a total column and a per unit column in the space provided below 71 You MUST use formulas and cell refereces in the income statement to earn full credit. 72 73 Hint: You will need to calculate the variable and fixed components of Manufacturing Overhead (MOH) and billing. Total Units Amount Per Unit 75 76 77 Sales 78 Variable Costs 79Direct materials 80 Direct Labor 81 | Variable 82 Sales commissions 83 Shipping Hint: Divide total cost column by total units to get VC per unit