Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years:

-Using the high-low method, what is the cost estimate for variable costs for 2018?
A) $1.29
B) $2.00
C) $1.60
D) $1.50

Question

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years:
 
-Using the high-low method, what is the cost estimate for variable costs for 2018?
A) $1.29 
B) $2.00 
C) $1.60 
D) $1.50

Quizplus · Accepted Answer

($225,150 - $180,000) / (85,000 - 50,000) = $1.29

Really Fast Delivery Services Has the Collected the Following Information