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Slonaker Inc. has provided the following data concerning its maintenance costs: Machines-Hours Cost October 5,809 $30,388 August 5,717 $30,078 Management believes that maintenance cost is
Slonaker Inc. has provided the following data concerning its maintenance costs:
Machines-Hours Cost
October 5,809 $30,388
August 5,717 $30,078
Management believes that maintenance cost is a mixed cost that depends on machine-hours.
Using the high-low method, variable cost per machine-hour is:
The total cost when the activity is 6,000 machine-hour is:
Using the high-low method, fixed cost per month is:
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