What is the best estimate of the cost formula


A law firm would like to develop a method of predicting its total overhead costs in a period, based on the following records for the past two periods:

Total overhead costs $120,000 $132,000
Number of billable hours 300 360

Assuming X= billable hours and Y= total overhead costs, what is the best estimate of the cost formula for the company based on the high-low method ?

 

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: What is the best estimate of the cost formula
Reference No:- TGS085216

Expected delivery within 24 Hours