> mathxl.com + + Content M Take a Test - Brian Nguyen 10 cch chp mn hnh Macbook gn gn, d thc hin... C Get Homework Help With Chegg Study | Chegg.com Managerial Accounting - ACCT2031 - F2021 - Fri. Brian Nguyen | 10/22/21 7:48 AM = Test: Midterm Exam Question 16 This Test: 16 pts possible Submit Test Battle Company, which uses the high-low method to analyze cost behaviour, has determined that machine hours best predict the company's total utilities cost. The company's cost and machine hour usage data for the first six months of the year follow. E (Click the icon to view the data.) Requirements Using the high-low method, answer the following questions: 1. What is the variable utilities cost per machine hour? Data Table 2. What is the fixed cost of utilities each month? 3. If Battle Company uses 1,250 machine hours in a month, what will its total costs be? Month Total Cost Machine Hours .... $ 3,378 1,020 O A. Highest cost + Highest volume = Variable cost (slope) OB. Total operating cost - Total variable cost = Variable cost (slope) C. Lowest cost +Lowest volume = Variable cost (slope) OD. Change volume + Change Variable cost (slope) O E. Change in cost + Change in volume = Variable cost (slope) January February March $ 3,770 1,130 $ 3,530 1,065 April $ 3,750 1,240 May $ 4,900 1,320 Using the high-low method, the variable utilities cost per machine hour is $(Round the variable cost to the nearest cent.) June $ 5,408 1,720 Requirement 2. What is the fixed cost of utilities each month? Determine the formula that is used to calculate the fixed cost component. Choose the correct answer below. Print Done A. Total operating cost - Total variable cost = Fixed cost OB. Highest cost - lowest cost = Fixed cost O C. Change in volume + Change in cost = Variable cost (slope) OD. Highest volume - lowest volume = Fixed cost O E. Change in cost Change in volume = Fixed cost Using the high-low method, the fixed cost of utilities each month is $ . (Round the total variable costs to the nearest whole dollar.) Requirement 3. If Battle Company uses 1,250 machine hours in a month, what will its total costs be? The total costs when 1,250 machine hours are incurred is $ . (Round your interim and final calculations to the nearest whole dollar.) Time Remaining: 01:14:27 Submit Test