Johnson Trucking Company wants to determine a fuel surcharge to add to its customers' bills based on the number of miles driven to each area. It wants to separate the fixed and variable portion of the truck's operating costs so it has a better idea of how distance affects these costs. Johnson Trucking Company has the following data available.
The variable cost per mile using the high-low method is
A) $1.32
B) $0.86
C) $1.41
D) $1.57
Correct Answer:
Verified
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