Question 2

Q1&Q2 are based on this case: John runs a snow cone stand near the local park. John wants to determine his cost behavior patterns. He has the following info about his recent operation. Month Number of snow cones | Total operating costs January 7,900 $5,000 February 7,800 $4,800 March 6,400 $4,500 April 6,300 $4,600 May 7,700 $4,700 Q1. The variable cost per snow cone using the hi-lo method is: __(rounded) A. $1.5327 B. 0.2667 C. 0.3846 D. 0.6549 E. 0.2500 Q2. Using hi-lo method, the fixed costs for a month? (rounded) A. $2893 B. 1962 C. 308 D. 174 E. 3025