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Gribble Company's High and Low Level of Activity Last Year

question 122

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Gribble Company's high and low level of activity last year was 60000 units of product produced in May and 20000 units produced in November. Machine maintenance costs were $156000 in May and $60000 in November. Using the high-low method determine an estimate of total maintenance cost for a month in which production is expected to be 45000 units.

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Definitions:

Rung

A group of programmable logic controller instructions that controls an output or storage bit, or performs other control functions such as file moves, arithmetic, and/or sequencer instructions. A rung is represented as one section of a ladder logic diagram.

PLC Chassis

A PLC chassis provides the structural support to accommodate various PLC modules, including processors, input/output modules, and communication modules, facilitating their interconnection.

Terminal

An endpoint or interface for entering data into or receiving data from a computer system.

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