Electrical costs at one of Noyd Corporation's factories are listed below: Management believes that electrical cost is a mixed cost that depends on machine-hours.
-Using the high-low method, the estimate of the variable component of electrical cost per machine-hour is closest to:
A) $0.11
B) $8.92
C) $94.27
D) $8.56

Question

Electrical costs at one of Noyd Corporation's factories are listed below:  Management believes that electrical cost is a mixed cost that depends on machine-hours.
-Using the high-low method, the estimate of the variable component of electrical cost per machine-hour is closest to:
A) $0.11 
B) $8.92 
C) $94.27 
D) $8.56

Quizplus · Accepted Answer

The Answer of Electrical costs at one of Noyd Corporation's factories are listed below:  Management believes that electrical cost is a mixed cost that depends on machine-hours.
-Using the high-low method, the estimate of the variable component of electrical cost per machine-hour is closest to:
A) $0.11 
B) $8.92 
C) $94.27 
D) $8.56

Electrical Costs at One of Noyd Corporation's Factories Are Listed