Answer the following questions using the information below:
The Doha Clothing Company uses the high-low method to estimate the cost function. The information for 2014 is provided below:

-What is the estimate of the total cost when 300 machine-hours are used?
A) $16,000
B) $8,000
C) $12,000
D) $4,000

Question

Answer the following questions using the information below:
The Doha Clothing Company uses the high-low method to estimate the cost function. The information for 2014 is provided below:
 
-What is the estimate of the total cost when 300 machine-hours are used?
A) $16,000 
B) $8,000 
C) $12,000 
D) $4,000

Quizplus · Accepted Answer

Without the specific cost function or details on how costs scale with machine-hours, it's impossible to accurately calculate the total cost. However, if this is a follow-up to a previously given scenario where the cost function was provided, the correct answer would typically be derived by applying that cost function to the 300 machine-hours. Since no such function is provided here, a direct calculation cannot be made. The choice of $16,000 as the correct answer is arbitrary without additional context.

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