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Supply costs at Coulthard Corporation's chain of gyms are listed below:     Client-Visits Supply Cost March 12,855 $ 23,598 April 12,283 $ 23,278 May 13,104 $ 23,742 June 12,850 $ 23,607 July 12,493 $ 23,415 August 12,794 $ 23,562 September 12,686 $ 23,496 October 12,765 $ 23,541 November 13,018 $ 23,687   Management believes that supply cost is a mixed cost that depends on client-visits. Use the high-low method to estimate the variable and fixed components of this cost. Compute the variable component first, rounding off to the nearest whole cent. Then compute the fixed component, rounding off to the nearest whole dollar. Those estimates are closest to: (Round your intermediate calculations to 2 decimal places.)   Multiple Choice   $1.85 per client-visit; $23,547 per month   $1.77 per client-visit; $557 per month   $0.57 per client-visit; $16,273 per month   $0.55 per client-visit; $16,579 per month

Supply costs at Coulthard Corporation's chain of gyms are listed below:     Client-Visits Supply Cost March 12,855 $ 23,598 April 12,283 $ 23,278 May 13,104 $ 23,742 June 12,850 $ 23,607 July 12,493 $ 23,415 August 12,794 $ 23,562 September 12,686 $ 23,496 October 12,765 $ 23,541 November 13,018 $ 23,687   Management believes that supply cost is a mixed cost that depends on client-visits. Use the high-low method to estimate the variable and fixed components of this cost. Compute the variable component first, rounding off to the nearest whole cent. Then compute the fixed component, rounding off to the nearest whole dollar. Those estimates are closest to: (Round your intermediate calculations to 2 decimal places.)   Multiple Choice   $1.85 per client-visit; $23,547 per month   $1.77 per client-visit; $557 per month   $0.57 per client-visit; $16,273 per month   $0.55 per client-visit; $16,579 per month

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Supply costs at Coulthard Corporation's chain of gyms are listed below:

 

  Client-Visits Supply Cost
March 12,855 $ 23,598
April 12,283 $ 23,278
May 13,104 $ 23,742
June 12,850 $ 23,607
July 12,493 $ 23,415
August 12,794 $ 23,562
September 12,686 $ 23,496
October 12,765 $ 23,541
November 13,018 $ 23,687

 

Management believes that supply cost is a mixed cost that depends on client-visits. Use the high-low method to estimate the variable and fixed components of this cost. Compute the variable component first, rounding off to the nearest whole cent. Then compute the fixed component, rounding off to the nearest whole dollar. Those estimates are closest to: (Round your intermediate calculations to 2 decimal places.)

 

Multiple Choice
  •  
    $1.85 per client-visit; $23,547 per month
  •  
    $1.77 per client-visit; $557 per month
  •  
    $0.57 per client-visit; $16,273 per month
  •  
    $0.55 per client-visit; $16,579 per month
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