Question
The controller of Marshall Industries has collected the following monthly expense data for use in analyzing the cost behaviour of maintenance costs: Month Total Maintenance
The controller of Marshall Industries has collected the following monthly expense data for use in analyzing the cost behaviour of maintenance costs:
| Month | Total Maintenance Costs | Total Machine Hours |
| Jan | 2650$ | 2900 |
| Feb | 3300 | 4000 |
| Mar | 3700 | 6100 |
| April | 4600 | 8150 |
| May | 3470 | 5050 |
| June | 5777 | 8200 |
Determine the variable cost component using the high-low method
Variable Cost = $_______ per machine hour
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Financial Accounting In An Economic Context
Authors: Jamie Pratt
7th Edition
0470128828, 978-0470128824
