Question
Factory maintenance (classified as a mixed cost) was $52,000 at 81,000 units produced in February (the low activity month) and $68,000 at 149,000 units produced
Factory maintenance (classified as a mixed cost) was $52,000 at 81,000 units produced in February (the low activity month) and $68,000 at 149,000 units produced in September (the high activity month). Using the high low method, what is the estimated factory maintenance cost if 130,000 units are produced?
Can you please show me step by step how to solve this problem?
Factory maintenance (classified as a mixed cost) was $52,000 at 81,000 units produced in February (the low activity month) and $68,000 at 149,000 units produced in September (the high activity month). Using the high low method, what is the estimated factory maintenance cost if 130,000 units are produced
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
GMP Audit Trainer Good Manufacturing Practices Made Easy
Authors: Mr Brendan Cooper
1st Edition
1548711934, 978-1548711931
