Question
Sanders Bears produces stuffed animals. Sanders is in the process of implementing a cost fore- casting system using the high-low method. The variable cost per
Sanders Bears produces stuffed animals. Sanders is in the process of implementing a cost fore- casting system using the high-low method. The variable cost per animal is $2 and the high and low costs used were $80,000 for 30,0000 animals and $40,000 for 10,000 animals. What is the value of the fixed cost for the cost estimating equation?
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Managerial Accounting for the Hospitality Industry
Authors: Lea R. Dopson, David K. Hayes
2nd edition
978-1-119-2996, 1119299659, 978-1119386223
