Burgerville Co has observed that at an activity level of 5000 units the maintenance cost is $6500,and at 10 000 units the maintenance cost is $9000.Using the high-low method,the cost formula for maintenance is: a. $\$ 4000 + \$ 50 \mathrm { x }$ units
b. $\$ 3500 + \$ 60 \mathrm { x }$ units
c. $\$ 2000 + \$ .70 x$ units
d. $\$ 1.30 /$ unit

Question

Quizplus · Accepted Answer

The Answer of Burgerville Co has observed that at an activity level of 5000 units the maintenance cost is $6500,and at 10 000 units the maintenance cost is $9000.Using the high-low method,the cost formula for maintenance is: a. $\$ 4000 + \$ 50 \mathrm { x }$ units
b. $\$ 3500 + \$ 60 \mathrm { x }$ units
c. $\$ 2000 + \$ .70 x$ units
d. $\$ 1.30 /$ unit

Burgerville Co Has Observed That at an Activity Level of 5000