Pearson Electric Company uses the high-low method to analyze mixed costs.The following information relates to the production data for the first six months of the year.
What is the estimated total cost at an operating level of 1,180 hours?
A)$10,060.
B)$10,145.
C)$10,015.
D)$10,805. Total cost = $6,520 + ($3.00 x 1,180)= $10,060

Question

Pearson Electric Company uses the high-low method to analyze mixed costs.The following information relates to the production data for the first six months of the year. 
What is the estimated total cost at an operating level of 1,180 hours?
A)$10,060. 
B)$10,145. 
C)$10,015. 
D)$10,805. Total cost = $6,520 + ($3.00 x 1,180)= $10,060

Quizplus · Accepted Answer

The estimated total cost at an operating level of 1,180 hours is $10,060, which is option A.

Pearson Electric Company Uses the High-Low Method to Analyze Mixed