Favero Ltd accumulates the following data concerning a mixed cost using kilometres as the activity level. Month
Question:
Favero Ltd accumulates the following data concerning a mixed cost using kilometres as the activity level.
Month | Kilometres driven | Total cost |
January | 8 000 | $16 550 |
February | 7 500 | $15 550 |
March | 8 500 | $17 550 |
April | 8 200 | $16 950 |
Required
Compute the fixed and variable cost elements using the high-low method
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Related Book For
Accounting
ISBN: 978-1118608227
9th edition
Authors: Lew Edwards, John Medlin, Keryn Chalmers, Andreas Hellmann, Claire Beattie, Jodie Maxfield, John Hoggett
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