Month	Total Production Cost	Level of Activity (units prodcued)
July	$230,000	3,500
August	250,000	3,750
September	260,000	3,800
October	220,000	3,400
November	340,000	5,800
December	330,000	5,500
Januaury	200,000	2,900
February	210,000	3,300
March	240,000	3,600
April	380,000	5,900
May	350,000	5,600
June	290,000	5,000

a) Determine the variable cost per unit and the fixed cost using the high-low method.

b) What is the equation of the total mixed cost function?

c) Based on the High-Low method, what is the total production costs if 6,500 units are produced?

d) Prepare the scatter diagram and insert the trendline or line of best-fit. Use a scale of 2 cm to represent 1,000 units on the x-axis & 2 cm to represent $50,000 on the yaxis.

e) Using the line of best-fit, determine the companys fixed cost per month and the variable cost per unit. (Use 0 & 5,000 units.) f) Which of the two methods appear more appropriate? Explain your answer.

f) which one of the two methods appear more appropriate? explain your answer.