DESCORHigh-low methodEvander 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 ofproduction are as follows:Units Produced Total Costs1,1502,0203,450$169,740229,900264,040a. Determine the variable cost per unit and the total fixed cost.Variable cost sTotal fixed cost sb. Based on part (a), estimate the total cost for 1,660 units of production.Total cost for 1,660 units

Variable costs are costs that vary with the change in the level of output whereas fixed costs are…

High-low method Evander 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 1,150 2,020 3,450 Total Costs $169,740 229,900 264,040 a. Determine the variable cost per unit and the total fixed cost. Variable costs Total fixed cost s b. Based on part (o), estimate the total cost for 1,660 units of production. Total cost for 1,660 units

High-low method Evander 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 1,150 2,020 3,450 Total Costs $169,740 229,900 264,040 a. Determine the variable cost per unit and the total fixed cost. Variable costs Total fixed cost s b. Based on part (o), estimate the total cost for 1,660 units of production. Total cost for 1,660 units

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 7E: High-low method Ziegler Inc. has decided to use the high-low method to estimate the total cost and...

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