Question - high-low method - using the high-low method


Question - High-low method

The manufacturing costs of Bartee-Allen Enterprises for the second three months of the year follow:

Total Costs/ Units Produced

April 300,000/ $2,700 Units

May 440,000 /5,500 Units

June 325,000/ 3,500 Units

Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost.

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