The Vern Corporation has assembled the following data pertaining to certain costs that cannot be easily identified as either fixed or variable. Vern Corporation has heard about a method of measuring cost functions called the high-low method and has decided to use it in this situation.

-The cost function would be stated as
A) Y = $13,386 + $0.46X.
B) Y = $10,680 + $0.38X.
C) Y = $ 5,056 + $2.16X.
D) Y = $ 1,800 + $2.60X.

Question

The Vern Corporation has assembled the following data pertaining to certain costs that cannot be easily identified as either fixed or variable. Vern Corporation has heard about a method of measuring cost functions called the high-low method and has decided to use it in this situation.
 
-The cost function would be stated as
A) Y = $13,386 + $0.46X. 
B) Y = $10,680 + $0.38X. 
C) Y = $ 5,056 + $2.16X. 
D) Y = $ 1,800 + $2.60X.

Quizplus · Accepted Answer

The Answer of The Vern Corporation has assembled the following data pertaining to certain costs that cannot be easily identified as either fixed or variable. Vern Corporation has heard about a method of measuring cost functions called the high-low method and has decided to use it in this situation.
 
-The cost function would be stated as
A) Y = $13,386 + $0.46X. 
B) Y = $10,680 + $0.38X. 
C) Y = $ 5,056 + $2.16X. 
D) Y = $ 1,800 + $2.60X.

The Vern Corporation Has Assembled the Following Data Pertaining to Certain