The following data pertain to activity and utilities costs for two recent years: Year 2 Year 1 Activity Level in Units 10, 000 6,000 Utilities Cost $ 12,000 $9,000 Using the high - low method, what is the cost formula for utilities? a. $1.20 per unit. b. $1.50 per unit. c. $3,000 plus $3.00 per unit. d. $4,500 plus $0.75 per unit.

The following data pertain to activity and utilities costs for two recent years: Year 2 Year 1 Activity Level in Units 10, 000 6,000 Utilities Cost $ 12,000 $9,000 Using the high - low method, what is the cost formula for utilities? a. $1.20 per unit. b. $1.50 per unit. c. $3,000 plus $3.00 per unit. d. $4,500 plus $0.75 per unit.

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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