Presented Below Is the Production Data for the First Six

question 118

Multiple Choice

Presented below is the production data for the first six months of the year for the mixed costs incurred by Strongsville Company. $$\begin{array} { l l l } \text { Month } & \text { Cost } & \text { Units } \\\text { January } & \$ 7,500 & 4,000 \\\text { February } & 13,000 & 6,500 \\\text { March } & 10,500 & 8,000 \\\text { April } & 12,700 & 10,500 \\\text { May } & 13,500 & 12,000 \\\text { June } & 10,850 & 9,000\end{array}$$ Strongsville Company uses the high- low method to analyze mixed costs. The variable cost per unit is:

• A) $1.25
• B) $1.31
• C) $0.132
• D) $0.75

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Definitions:

Fraud

Deceptive action designed to result in financial or personal gain, often at the expense of others.

Fraud

Deceit or trickery intentionally practiced to gain unfair or unlawful advantage.

Manual Claims Tracking

The process of monitoring and recording insurance claims by hand, without the use of automated software systems.

Clearinghouse

A central agency for the collection, classification, and distribution of information or transactions.