Lawson Lumber uses the high-low method to estimate electricity cost, which varies in relation to machine hours. Based on the following data, how would the cost function be stated if 'X' is the number of machine hours?
A) $525 + $0.35 X
B) $300 + $0.50 X
C) $500 + $0.50 X
D) $470 + $0.35 X

Question

Lawson Lumber uses the high-low method to estimate electricity cost, which varies in relation to machine hours. Based on the following data, how would the cost function be stated if 'X' is the number of machine hours? 
A) $525 + $0.35 X 
B) $300 + $0.50 X 
C) $500 + $0.50 X 
D) $470 + $0.35 X

Quizplus · Accepted Answer

The Answer of Lawson Lumber uses the high-low method to estimate electricity cost, which varies in relation to machine hours. Based on the following data, how would the cost function be stated if 'X' is the number of machine hours? 
A) $525 + $0.35 X 
B) $300 + $0.50 X 
C) $500 + $0.50 X 
D) $470 + $0.35 X

Lawson Lumber Uses the High-Low Method to Estimate Electricity Cost