Using the High-Low Method and the Information Below, Compute the Monthly

question 50

Multiple Choice

Using the high-low method and the information below, compute the monthly variable cost per telephone hour for SKP Corporation. $\begin{array}{|l|c|r|}\hline \text { Month } & \begin{array}{c}\text { Telephone } \\\text { Hours Used }\end{array} & \begin{array}{c}\text { Telephone } \\\text { Expenses }\end{array} \\\hline \text { April } & 100 & \$ 4,500 \\\text { May } & 110 & 4,800 \\\text { June } & 150 & 5,400 \\\hline\end{array}$

• A) $18.00
• B) $36.00
• C) $34.64
• D) $45.00

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A departure from a standard, norm, or expectation, indicating a difference or variation from what is usual or expected.

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