Gabel Industries has collected the following data in order to analyze the behavior of their costs:

a.Using the high-low method,calculate the variable cost per unit and the estimated fixed costs.
b.Using the resulting relationship,predict the costs if they produce 18,500 units in a future period.

Question

Gabel Industries has collected the following data in order to analyze the behavior of their costs:
  
a.Using the high-low method,calculate the variable cost per unit and the estimated fixed costs.
b.Using the resulting relationship,predict the costs if they produce 18,500 units in a future period.

Quizplus · Accepted Answer

The Answer of Gabel Industries has collected the following data in order to analyze the behavior of their costs:
  
a.Using the high-low method,calculate the variable cost per unit and the estimated fixed costs.
b.Using the resulting relationship,predict the costs if they produce 18,500 units in a future period.

Gabel Industries Has Collected the Following Data in Order to Analyze