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    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Category: Business
    Subject: High Low method
    Details: Company x documented their production levels and overhead costs for the past five months:

    Production Overhead Costs
    January 10,500 units $402,500
    February 10,675 units $410,000
    March 11,500 $442,500
    April 12,500 $452,500
    May 11,000 437,500

    Using high-low method what is their cost equation for overhead costs?

    © BrainMass Inc. brainmass.com September 26, 2022, 8:42 pm ad1c9bdddf
    https://brainmass.com/business/accounting/cost-accounting-high-low-methods-17804

    SOLUTION This solution is FREE courtesy of BrainMass!

    Highest Activity : April 12,500 ------ Cost : 452,500
    Lowest Activity : January 10,500------ Cost: 402,500

    Difference : 2000 ------- : 50,000.

    Cost / Unit : 50,000/2000 = $25.

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    © BrainMass Inc. brainmass.com September 26, 2022, 8:42 pm ad1c9bdddf>
    https://brainmass.com/business/accounting/cost-accounting-high-low-methods-17804

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