The Phone Bill for Ace Accounting Consists of Both Fixed

question 199

Multiple Choice

The phone bill for Ace Accounting consists of both fixed and variable costs.Refer to the four month data below and apply the high-low method to answer the question.(Round your intermediate calculations to two decimal places.) $$\begin{array} { | l | r | r | } \hline & \text { Minutes } & \text { Total Bill } \\\hline \text { May } & 480 & \$ 3,400 \\\hline \text { June } & 210 & \$ 2,680 \\\hline \text { July } & 175 & \$ 2,650 \\\hline \text { August } & 330 & \$ 2,875 \\\hline\end{array}$$ What is the fixed portion of the total cost?

• A) $976.90
• B) $1,788.70
• C) $2,219.20
• D) $2,650.00