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Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the total cost.

Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the total cost. The data for various levels of production are as follows:

Units Produced Total Costs
1,935 $154,800
4,090 233,400
6,235 240,800

a. Determine the variable cost per unit and the total fixed cost.

Variable cost: (Round to the nearest dollar.)
Total fixed cost:

b. Based on part (a), estimate the total cost for 2,940 units of production.

Total cost for 2,940 units:

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