K Coughlin Company, which uses the high-low method to analyze cost behavior, has determined that machine hours best predict the company's total utilities cost. The company's cost and machine hour usage data for the first six months of the year follow (Click the icon to view the data) Read the requirements Data table Month Total Cost Machine Hours Requirement 1. What is the variable utilities cost per machine hour? Let's begin by determining the formula that is used to calculate the variable cost (slope) Change in cost January $ 3,420 1,040 February $ 3,760 1,100 March $ 3,500 1,000 Change in volume Variable cost (slope) (Round the vasable cost to the nearest cent) April May $ 3,780 1,200 $ 4,400 1,330 Using the high-low method, the variable utilities cost per machine hour is $1.75 June $ 4,200 1,400 Requirement 2. What is the fixed cost of utilities each month? Let's begin by determining the formula that is used to calculate the faed cost component Total utaties cost Total variable cost Using the high-low method, the fixed cost of usities each month is Fixed cost 1550 Video Get m Requirements Using the high-low method, answer the following questions 1. What is the variable utilities cost per machine hour? 2. What is the fixed cost of unites each month? 3. If Coughlin Company uses 1,270 machine hours in a month, what will its total bosts be? Print Done Clear all Check answer