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 Total Costs 1,440 $228,960 2,480 304,260 3,840 356,160 This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below. Open spreadsheet a: Determine the variable cost per unit and the total fixed cost. Variable cost $ Total fixed cost $ b. Based on part (a), estimate the total cost for 1,900 units of production. Total cost for 1,900 units $

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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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 Total Costs
1,440
$228,960
2,480
304,260
356,160
3,840
This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.
X
Open spreadsheet
a: Determine the variable cost per unit and the total fixed cost.
Variable cost $
Total fixed cost $
b. Based on part (a), estimate the total cost for 1,900 units of production.
Total cost for 1,900 units $
Transcribed Image Text: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 Total Costs 1,440 $228,960 2,480 304,260 356,160 3,840 This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below. X Open spreadsheet a: Determine the variable cost per unit and the total fixed cost. Variable cost $ Total fixed cost $ b. Based on part (a), estimate the total cost for 1,900 units of production. Total cost for 1,900 units $
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