The following four months of data were collected on utility cost and the number of labor hours in a factory.

- Using the high-low method, compute the variable rate for the utility cost.
A) $1.02
B) $2.80
C) $1.07
D) $2.00

Question

The following four months of data were collected on utility cost and the number of labor hours in a factory.

- Using the high-low method, compute the variable rate for the utility cost.
A) $1.02 
B) $2.80 
C) $1.07 
D) $2.00

Quizplus · Accepted Answer

SUPPORTING CALCULATIONS:
($24,600 - $20,140) / (5,430 - 3,200) = $2.00

The Following Four Months of Data Were Collected on Utility