Chapter 5, Problem 5.2DI

Westerville Company accumulates the following data concerning a mixed cost, using units produced as the activity level.

	Units Produced	Total Cost
March	10,000	$18,000
April	9,000	16,650
May	10,500	18,580
June	8,800	16,200
July	9,500	17,100

(a) Compute the variable- and fixed-cost elements using the high-low method.

(b) Estimate the total cost if the company produces 9,200 units.