Question
Use the following data for the 4th quarter of 2009: month activity volume (#units) total costs Oct 80 $5,870 Nov 75 $6,050 Dec 105 $7,550
Use the following data for the 4th quarter of 2009:
| month | activity volume (#units) | total costs |
| Oct | 80 | $5,870 |
| Nov | 75 | $6,050 |
| Dec | 105 | $7,550 |
Required: a) Estimate fixed costs and unit variable costs using the high-low method. (hint: should you use the observations with the highest/lowest activity, or highest/lowest costs?) FC= unit VC= b) Based on the estimates from (a), what is the cost of producing 107 units?
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Business Of Sport Management
Authors: John Beech, Simon Chadwick
2nd Edition
027372133X, 9780273721338
