Nutt Industries Electricity Costs and Machine Hours Over a Six-Month

question 66

Multiple Choice

Nutt Industries electricity costs and machine hours over a six-month period follow: Using the high-low method, what is the estimated electricity cost per machine hour?

• A)$.60
• B)$1.67
• C)$1.00
• D)$.80

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Definitions:

Dishonor

The refusal or inability to pay a bill of exchange or fulfill a financial obligation when due.

Presentment

The formal presentation of a financial instrument, such as a check, for payment.

Bankruptcy

A legal proceeding involving a person or business that is unable to repay their outstanding debts, leading to the disposition of assets to pay creditors.

Primary Liability

The obligation to pay a debt or fulfill a contractual obligation first, before any secondary parties are called upon.