Question
Brazilia Bus Tours has incurred the following bus maintenance costs during the recent tourist season. (Therealis Brazils national monetary unit. On the day this exercise
Brazilia Bus Tours has incurred the following bus maintenance costs during the recent tourist season. (Therealis Brazils national monetary unit. On the day this exercise was written, therealwas equivalent in value to .5092 U.S. dollar.) |
Required: |
Use the high-low method to estimate the variable cost per tour mile traveled and the fixed cost per month.(Round "Variable cost per tour mile" to 3 decimal places.)
Predict the level of maintenance cost that would be incurred during a month when 34,000 tour miles are driven.
| ||
|
Month | Miles Traveled by Tour Buses | Maintenance Cost | |
November | 12,750 | 17,100real | |
December | 15,900 | 17,400 | |
January | 19,050 | 17,550 | |
February | 22,500 | 18,000 | |
March | 30,000 | 18,750 | |
April | 12,000 | 16,500 | |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started