Markowis corp. has collected the following data concerning its maintenance costs for the past 6 months. units produced total cost july 19,962 $39,924 august 35,488 53,232 september 39,924 60,995 october 24,398 42,142 november 44,360 82,620 december 42,142 68,758 compute the variable cost per unit using the high-low method. (round variable cost per mile to 2 decimal places e. g. 1.25.) variable cost per unit $ compute the fixed cost elements using the high-low method. fixed costs $

C = 1.75Q + 4,990

variable 1.75

fixed component 4,990

Explanation:

High-Low method:

we subtract the highest level of activity with the lowest one:

24,398 units generates 42,696 cost

with this information we can solve for variable cost.

42,696 / 24,398 = 1.75

Now we calcualte the fixed cost:

TC = variable x Q + fixed cost

82,620 = 1.75 (44,360) + fixed cost

82,620 - 77630 = 4990

the formula will be:

C = 1.75Q + 4,990

answer; manager working long hours; plz check i believe this is correct good luck;

answer; /// the above statement is (false);