X Company accumulates the following data about maintenance costs, a mixed cost, using hours as the activity level: Hours 35,000 Cost $185.000 August September 40.000 210,000 October 30.000 160,000 November 42.000 220.000 December 51.000 265,000 Based on the above, in applying the high-low method, what is the unit variable cost? * O $5 $0.5 $2.05 O None of the above

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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X Company accumulates the following
data about maintenance costs, a mixed
cost, using hours as the activity level:
Hours
Cost
August
35,000
$185,000
September
40,000
210,000
October
30,000
160,000
November
42,000
220,000
December
51,000
265,000
Based on the above, in applying the
high-low method, what is the unit
variable cost? *
$5
$0.5
O $2.05
O None of the above
Transcribed Image Text:X Company accumulates the following data about maintenance costs, a mixed cost, using hours as the activity level: Hours Cost August 35,000 $185,000 September 40,000 210,000 October 30,000 160,000 November 42,000 220,000 December 51,000 265,000 Based on the above, in applying the high-low method, what is the unit variable cost? * $5 $0.5 O $2.05 O None of the above
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