Gargymal Company Would Like to Estimate the Variable and Fixed

question 93

Multiple Choice

Gargymal Company would like to estimate the variable and fixed components of its electrical costs and has compiled the following data for the last five months of operations:
$\begin{array} { | l | r | r | } \hline & \text { Machine Hours } & \text { Electrical Cost } \\\hline \text { August } & 1,000 & \$ 1,620 \\\hline \text { September } & 900 & 1,510 \\\hline \text { October } & 1,500 & 1,870 \\\hline \text { November } & 2,000 & 1,950 \\\hline \text { December } & 1,300 & 1,730 \\\hline\end{array}$


-Using the high-low method,the estimated fixed cost per month for electricity is closest to which of the following?

• A) $870.00.
• B) $1,150.00.
• C) $1,290.00.
• D) $1,306.50.

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Definitions:

Infant

A minor; a person under the legal age of majority.

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The legally defined age at which an individual is recognized as an adult and is capable of assuming responsibility for their actions in civil and criminal law.

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