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Marcye Company manufactures office furniture. Listed below are data for July, the most productive month and for November, the slowest month. Month Costs Number of
Marcye Company manufactures office furniture. Listed below are data for July, the most productive month and for November, the slowest month.
Month | Costs | Number of desks manufactured |
July | $84,000 | 3,500 |
November | $44,000 | 1,000 |
The variable rate is $16.00 per desk. Using the high-low method, the total fixed costs are:
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