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The following information has been provided from a company with regular and stable costs. The quantity and matching costs for the highest and lowest activity
The following information has been provided from a company with regular and stable costs. The quantity and matching costs for the highest and lowest activity months are shown. High month total cost $1,361,000 Low month total cost $833,000 High Vol Low Vol 5800 3400 Use the high low method to determine cost behaviour and then predict the cost when the quantity produced in a period equals the number shown: 360 Required: Using the high-low method to determine cost behaviour, make a cost prediction for the activity level shown in the box above. NOTE: DO NOT dollar signs ($) etc., simply enter the amount. e.g. to enter $1,000 simply enter 1000
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