Given the Following Cost and Activity Observations for Leno Enterprises

question 15

Multiple Choice

Given the following cost and activity observations for Leno Enterprises' utilities, use the high-low method to calculate Leno's variable utilities cost per machine hour. $\begin{array}{lrr} & \text { Cost } & \text { Machine Hours } \\\text { September } & \$ 4,100 & 22,000 \\\text { October } & 3,700 & 18,000 \\\text { November } & 3,900 & 19,000 \\\text { December } & 4,500 & 28,000 \\\hline\end{array}$

• A) $0.08
• B) $4.86
• C) $0.25
• D) $12.50

---

Definitions:

Remittances

Remittances are funds transferred by foreign workers to their home countries, serving as a vital source of income for families and economies in many developing countries.

Gains From Immigration

The economic or social benefits that accrue to a country as a result of immigration, including increased labor force and cultural diversity.

Labor Force

Comprises all the working-age people in an economy who are employed or are actively seeking employment.

Explicit Cost

Direct payment made to others in the process of running a business, such as wages, rent, and materials.