The KING Company would like you to estimate the maintenance costs on its delivery trucks. The cost is a mixed cost. The following data is obtained for the first 6 months of the year: Mileage Costs ($) January 12,000 17,000 February 10,000 16,700 March 12,800 15,200 April 11,000 15,920 May 16,000 21,200 18,080 June 14,000 Compute the fixed cost portion using the High-Low Method of estimating costs. A. $9,200 B. $10,000 C. $18,400 D. $17,500
The KING Company would like you to estimate the maintenance costs on its delivery trucks. The cost is a mixed cost. The following data is obtained for the first 6 months of the year: Mileage Costs ($) January 12,000 17,000 February 10,000 16,700 March 12,800 15,200 April 11,000 15,920 May 16,000 21,200 18,080 June 14,000 Compute the fixed cost portion using the High-Low Method of estimating costs. A. $9,200 B. $10,000 C. $18,400 D. $17,500
The KING Company would like you to estimate the maintenance costs on its delivery trucks. The cost is a mixed cost. The following data is obtained for the first 6 months of the year: Mileage Costs ($) January 12,000 17,000 February 10,000 16,700 March 12,800 15,200 April 11,000 15,920 May 16,000 21,200 18,080 June 14,000 Compute the fixed cost portion using the High-Low Method of estimating costs. A. $9,200 B. $10,000 C. $18,400 D. $17,500
Transcribed Image Text:The KING Company would like you to estimate the maintenance costs on its delivery trucks. The
cost is a mixed cost. The following data is obtained for the first 6 months of the year:
Mileage Costs ($)
January 12,000
17,000
February 10,000 16,700
March 12,800 15,200
April 11,000 15,920
May 16,000
21,200
18,080
June 14,000
Compute the fixed cost portion using the High-Low Method of estimating costs.
A. $9,200
B. $10,000
C. $18,400
D. $17,500
Definition Definition Structural system an enterprise uses to collect, store, report, retrieve, and process financial data. Accounting information systems are used by business analysts, auditors, accountants, and consultants for accurate and efficient access to financial data.
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