Sherri's Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first half of the year: Number of Total Appointments 300 250 325 Month Cost January February March 6,150 5,500 6,600 5,500 6,850 6,300 April May June 200 425 275 Using the high-low method, calculate the total fixed cost per month and the variable cost per tanning appointment. (Round your "Variable Cost per Unit" answer to 2 decimal places and "Fixed Cost" answer to the nearest dollar amount.) Variable Cost per Unit Fixed Cost
Sherri's Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first half of the year: Number of Total Appointments 300 250 325 Month Cost January February March 6,150 5,500 6,600 5,500 6,850 6,300 April May June 200 425 275 Using the high-low method, calculate the total fixed cost per month and the variable cost per tanning appointment. (Round your "Variable Cost per Unit" answer to 2 decimal places and "Fixed Cost" answer to the nearest dollar amount.) Variable Cost per Unit Fixed Cost
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Sherri's Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first half of the
year:
Number of
Total
Appointments
300
250
325
Month
Cost
January
February
March
6,150
5,500
6,600
5,500
6,850
6,300
April
May
June
200
425
275
Using the high-low method, calculate the total fixed cost per month and the variable cost per tanning appointment. (Round your "Variable Cost
per Unit" answer to 2 decimal places and "Fixed Cost" answer to the nearest dollar amount.)
Variable Cost per Unit
Fixed Cost
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