Inspection costs at one of Ratulowski Corporation's factories are listed below: Units Inspection Costs Produced $ 17,112 $ 17,500 $ 17,165 $ 17,010 $ 17,194 $ 17,080 April May June 920 904 July August September 926 911 October 928 $ 17,232 November 868 $ 16,570 December 907 $ 17,038 Management believes that inspection cost is a mixed cost that depends on units produced. Using the high-low method, the estimate of the fixed component of inspection cost per month is closest to: Note: Round your intermediate calculations to 2 decimal places. 914 967

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Inspection costs at one of Ratulowski Corporation's factories are listed below:
April
May
June
July
August
Units Inspection
Costs
Produced
September
October
November
December
914
967
920
904
926
911
928
868
907
$ 17,112
$ 17,500
$ 17,165
$ 17,010
$ 17,194
$ 17,080
$ 17,232
$ 16,570
$ 17,038
Management believes that inspection cost is a mixed cost that depends on units produced.
Using the high-low method, the estimate of the fixed component of inspection cost per month is closest to:
Note: Round your intermediate calculations to 2 decimal places.
Transcribed Image Text:Inspection costs at one of Ratulowski Corporation's factories are listed below: April May June July August Units Inspection Costs Produced September October November December 914 967 920 904 926 911 928 868 907 $ 17,112 $ 17,500 $ 17,165 $ 17,010 $ 17,194 $ 17,080 $ 17,232 $ 16,570 $ 17,038 Management believes that inspection cost is a mixed cost that depends on units produced. Using the high-low method, the estimate of the fixed component of inspection cost per month is closest to: Note: Round your intermediate calculations to 2 decimal places.
Multiple Choice
O
$17,020.00
$16,571.00
$17,011.00
$8,419.87
Transcribed Image Text:Multiple Choice O $17,020.00 $16,571.00 $17,011.00 $8,419.87
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