Machine Master,Inc

question 185

Multiple Choice

Machine Master,Inc.had the following data regarding monthly power costs:

• A)$700
• B)$705
• C)$710
• D)$1,320

Month	Machine hours	Power cost
Jan	300	$680
Feb	600	720
Mar	400	695
Apr	200	640

Assume that management expects 500 machine hours in May.Using the high-low method,calculate May's power cost using machine hours as the basis for prediction.

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Definitions:

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