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To Follow Is Information About the Units Produced and Total

Question 138

Multiple Choice

To follow is information about the units produced and total manufacturing costs for Snow Enterprises for the past six months.  Month  Number of units produced  Total manufacturing costs  January 7,940$5,900 February 7,500$5,460 March 6,400$5,000 April 6,600$5,500 May 4,740$5,100 June 7,800$5,840\begin{array} { | l | c | c | } \hline \text { Month } & \text { Number of units produced } & \text { Total manufacturing costs } \\\hline \text { January } & 7,940 & \$ 5,900 \\\hline \text { February } & 7,500 & \$ 5,460 \\\hline \text { March } & 6,400 & \$ 5,000 \\\hline \text { April } & 6,600 & \$ 5,500 \\\hline \text { May } & 4,740 & \$ 5,100 \\\hline \text { June } & 7,800 & \$ 5,840 \\\hline\end{array}
- Using the high-low method,what is the variable cost per unit?


A) $0.74
B) $0.25
C) $1.08
D) $4.00

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