Tashiro 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 5,100     $437,920   1,700     281,520   3,400     417,280   a. Determine the variable cost per unit and the total fixed cost. Variable cost (Round to two decimal places.) $fill in the blank 1 per unit Total fixed cost $fill in the blank 2   b. Based on part (a), estimate the total cost for 2,450 units of production. Total cost for 2,450 units: $fill in the blank 3

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Tashiro 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
5,100     $437,920  
1,700     281,520  
3,400     417,280  

a. Determine the variable cost per unit and the total fixed cost.

Variable cost (Round to two decimal places.) $fill in the blank 1 per unit
Total fixed cost $fill in the blank 2  

b. Based on part (a), estimate the total cost for 2,450 units of production.

Total cost for 2,450 units:

$fill in the blank 3

 

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