The manufacturing costs of Ackerman Industries for the first three months of the year follow: Total Costs Units Produced January $444,600 1,710 units February 465,840 3,610 March 691,600 5,510 Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. Round all answers to the nearest whole dollar.
The manufacturing costs of Ackerman Industries for the first three months of the year follow: Total Costs Units Produced January $444,600 1,710 units February 465,840 3,610 March 691,600 5,510 Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. Round all answers to the nearest whole dollar.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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High-Low Method
The
| Total Costs | Units Produced | |||
| January | $444,600 | 1,710 | units | |
| February | 465,840 | 3,610 | ||
| March | 691,600 | 5,510 |
Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. Round all answers to the nearest whole dollar.
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