Boston Railroad decided to use the high low method and operating data from the past six months to estimate the fixed and variable components of transportation costs The activity base used by Boston Railroad is a measure of railroad operating activity, termed gross ton miles, which is the total number of tons multiplied by the miles moved Transportation Costs Gross Ton Miles January $1,055,700 351,000 February 1,177,100 392,000 March 831,900 254,000 April 1,128,600 380,000 May 946,500 306,000 June 1,213,500 413,000 Determine the variable cost per gross ton mile and the fixed cost Variable cost (Round to two decimal places ) $fill in the blank 1 per gross ton mile Total fixed cost

Question: Boston Railroad decided to use the high-low method and operating data from the past six months to estimate the fixed and variable components of transportation

Boston Railroad decided to use the high-low method and operating data from the past six months to estimate the fixed and variable components of transportation costs. The activity base used by Boston Railroad is a measure of railroad operating activity, termed “gross-ton miles,” which is the total number of tons multiplied by the miles moved.

	Transportation Costs	Gross-Ton Miles
January	$1,055,700	351,000
February	1,177,100	392,000
March	831,900	254,000
April	1,128,600	380,000
May	946,500	306,000
June	1,213,500	413,000

Determine the variable cost per gross-ton mile and the fixed cost.

Variable cost (Round to two decimal places.)	$fill in the blank 1 per gross-ton mile
Total fixed cost

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