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High-low method

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Part 3: Blake Corporation

Blake Corporation has the following data for use of its machinery

Month Usage Cost
Jun 600 $750
Jul 650 775
Aug 420 550
Sept 500 650
Oct 450 570

a. Using the high-low method, compute the variable cost element.

b. Using the high-low method, compute the fixed cost element (to the nearest whole dollar).

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Solution Summary

The solution explains how to use the high-low method to separate the mixed cost into fixed and variable elements.

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Part 3: Blake Corporation

Blake Corporation has the following data for use of its machinery

Month Usage Cost
Jun 600 $750
Jul 650 775
Aug 420 550
Sept 500 650
Oct 450 570

In the high low ...

Purchase this Solution


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