Question
Analyze the cost behavior of Le Vin Rouge using the high-low method. The company's total utility costs for the past six months are as follows:
Analyze the cost behavior of Le Vin Rouge using the high-low method. The company's total utility costs for the past six months are as follows:
- January: €2,000
- February: €2,500
- March: €2,800
- April: €3,200
- May: €3,500
- June: €4,000
Calculate the variable cost per month and the fixed cost component.
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Managerial Accounting
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
14th edition
1337270598, 978-1337270595
