Sterling Glass Company Uses the High-Low Method to Analyze Mixed

question 73

Multiple Choice

Sterling Glass Company uses the high-low method to analyze mixed costs. The following information relates to the production data for the first six months of the year.How should the cost function be properly stated?

• A) Y = $2,025 + $2.50H.
• B) Y = $3,890 + $2.00H.
• C) Y = $4,085 + $2.00H.
• D) Y = $5,260 + $2.50H.

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Definitions:

Feet

The lower extremity of the leg below the ankle, on which a person stands or walks.

Leptin

A hormone that affects appetite and is believed to affect the onset of puberty. Leptin levels increase during childhood and peak at around age 12.

Estrogen

A group of steroid hormones that play a key role in the development and regulation of the female reproductive system and secondary sex characteristics.

Cortisol

The primary stress hormone; fluctuations in the body’s cortisol level affect human emotions.