Cardillo Inc., an escrow agent, has provided the following data concerning its office expenses: Management believes that
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Cardillo Inc., an escrow agent, has provided the following data concerning its office expenses:
Management believes that office expense is a mixed cost that depends on the number of escrows completed. Note: Real estate purchases usually involve the services of an escrow agent that holds funds and prepares documents to complete the transaction. Using the high-low method, the estimate of the variable component of office expense per escrow completed is closest to: $26.75 $118.23 $36.11 $72.49
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