Question: Apollo Sdn Bhd collects data relating to a mixed cost, using units produced as the activity level. Month Units Produced Total Cost (RM) August 9,800

  1. Apollo Sdn Bhd collects data relating to a mixed cost, using units produced as the activity level.

Month

Units Produced

Total Cost (RM)

August

9,800

14,740

September

8,500

13,250

October

7,000

11,100

November

7,600

12,000

December

8,100

12,460

    1. Using the above data, calculate the variable cost and fixed cost elements using the high-low method. (4 marks)
    1. Should the company produces 10,000 units, what is the estimated total cost? (2 marks)

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