Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Deliveries Are Us Company wants to determine a fuel surcharge to add to its customers' bills based on the number of miles driven to

image text in transcribed

Deliveries Are Us Company wants to determine a fuel surcharge to add to its customers' bills based on the number of miles driven to each area. It wants to separate the fixed and variable portion of the company's operating costs so it has a better idea of how distance affects these costs. The Company has the folowing data available Morth January February March Apri May June Mles driven 16,200 17.000 20,000 16,500 17,400 16,000 Total operating costs $22.450 $23.250 $26,000 $22,875 $25,550 $21,000 Using the high-low method, the fixed costs in a month are (Round intermediary calculations to the nearest cent. Use the com) OA $47.000 On $1000) G. $25.000 0.000 data month to calculate your final answer. Do not use the "low" month, as it wil result in an approximation of the

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Information Systems Managing the Digital Firm

Authors: Ken Laudon, Jane P. Laudon

13th edition

133050696, 978-0133050691

More Books

Students also viewed these Accounting questions

Question

13. What do you do in your leisure time?

Answered: 1 week ago

Question

12. What were some of the best and worst aspects of your last job?

Answered: 1 week ago