Question
Mountain Dental Services is a specialized dental practice whose only service is filling cavities. Mountain has recorded the following for the past nine months: Month
Mountain Dental Services is a specialized dental practice whose only service is filling cavities. Mountain has recorded the following for the past nine months:
Month | Number of Cavities Filled | Total Cost |
January | 575 | $6,400 |
February | 475 | 5,350 |
March | 675 | 6,050 |
April | 550 | 6,250 |
May | 300 | 5,150 |
June | 500 | 6,050 |
July | 325 | 5,300 |
August | 400 | 5,050 |
September | 425 | 5,900 |
Required:
1. Use the high-low method to estimate total fixed cost and variable cost per cavity filled.
2. Using these estimates, calculate Mountains total cost for filling 350 cavities.
Required 1:
Use the high-low method to estimate total fixed cost and variable cost per cavity filled. (Round your Variable cost per unit to 2 decimal places.)
Fixed Cost:
Variable Cost per cavity filled:
Required 2:
Using these estimates, calculate Mountains total cost for filling 350 cavities.
Estimated Total Cost:
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