Lake Louise Company Makes Treadmills -Refer to the Figure

question 118

Multiple Choice

Lake Louise Company makes treadmills. The company controller wants to calculate the fixed and variable costs associated with the janitorial costs incurred in the factory. Data for the past four months were collected. $\begin{array}{lrr}& \text { Janitorial } & \text { Machine } \\\text { Month } &\text { costs } & \text { hours }\\\text { September } & \$ 11,000 & 575 \\\text { October } & 11,400 & 610 \\\text { November } & 10,200 & 510 \\\text { December } & 10,725 & 550\end{array}$
-Refer to the Figure.What would be the fixed cost of the janitorial services when using the high-low method?

• A)$4,080
• B)$7,320
• C)$6,120
• D)$11,000

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Definitions:

Perception

the process of recognizing, organizing, and interpreting sensory information to represent and understand the environment around us.

Introspections

involve examining one's own thoughts, feelings, and sensations to gain insight into one's mental state.

Misappropriate

Incorrectly or dishonestly taking something, usually money or property, for one's own use, especially in violation of trust.

Blindsight

A condition in which individuals can respond to visual stimuli without consciously perceiving them, typically after brain damage.