Question: Palm, which uses the high-low method, had an average cost per unit of $54 at its lowest level of activity when sales equaled 1,000 units

Palm, which uses the high-low method, had an average cost per unit of $54 at its lowest level of activity when sales equaled 1,000 units and an average cost per unit of $32.40 at its highest level of activity when sales equaled 3,400 units. Palm would estimate fixed costs as:

Multiple Choice

$47

$30,600

$86.40

$15,300.00

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