Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Winston, which uses the high-low method, had an average cost per unit of $10 at its lowest level of activity when sales equaled 10,000 units

Winston, which uses the high-low method, had an average cost per unit of $10 at its lowest level of activity when sales equaled 10,000 units and an average cost per unit of $6.50 at its highest level of activity when sales equaled 20,000 units. What would Winston estimate its total cost to be if sales equaled 8,000 units? A. $24,000 B. $52,000 C. $70,000 D. $94,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions