Answer the Following Questions Using the Information Below:
the Tamworth

question 135

Multiple Choice

Answer the following questions using the information below:
The Tamworth Company uses the high-low method to estimate the cost function.The information for 2018 is provided below:
$$\begin{array} { l c c } & \text { Machine-hours } & \text { Labour Costs } \\\text { Highest observation of cost driver } & 800 & \$ 20000 \\\text { Lowest observation of cost driver } & 480 & \$ 13600\end{array}$$
-What is the slope coefficient per machine-hour?

• A)$28.33
• B)$25.00
• C)$20.00
• D)$0.05

---

Definitions:

Total Mean

The overall average of a set of numerical values computed by summing them up and dividing by the count of numbers.

Independent Variables

Variables in an experiment that are manipulated or changed to observe their effect on dependent variables, without being influenced by other factors in the experiment.

Interaction Effect

A phenomenon in statistical analysis where the effect of one variable on an outcome depends on the level of another variable.

Main Effects

Main effects refer to the individual impact of independent variables on a dependent variable in factorial design or analysis of variance (ANOVA).