Question
High-Low Method Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the
High-Low Method
Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the total cost. The data for various levels of production are as follows:
| Units Produced | Total Costs | |||
| 1,650 | $210,600 | |||
| 3,400 | 279,860 | |||
| 4,650 | 327,600 | |||
a. Determine the variable cost per unit and the total fixed cost.
| Variable cost: (Round to the nearest dollar.) | __________________ |
| Total fixed cost: | __________________ |
b. Based on part (a), estimate the total cost for 2,270 units of production.
| Total cost for 2,270 units: | __________ |
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Accountants Guide To Fraud Detection And Control
Authors: Howard R. Davia, Patrick C. Coggins, John C. Wideman, Joseph T. Kastantin
2nd Edition
0471353787, 9780471353782
