Given the Following Costs and Activity Observations for Pike Company's

question 44

Multiple Choice

Given the following costs and activity observations for Pike Company's utilities, use the high-low method to calculate Pike Company's variable utilities costs per machine hour. $$\begin{array}{l}\begin{array} { l l l } \text { Machine Hours}&\text { Cost }\\15,000 & \$ 3,100 & \text { March } \\10,000 & 2,700 & \text { April } \\12,000 & 2,900 & \text { May } \\18,000 & 3,500 & \text { June}\end{array}\end{array}$$

• A) $0.10
• B) $0.19
• C) $0.21
• D) $0.27

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Definitions:

Normal Model

A statistical model characterized by a symmetrical bell-shaped curve, describing how continuous data values are distributed around the mean.

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Any illness that is primarily associated with or most commonly occurs in children.

Gene

A unit of heredity that is transferred from parent to offspring and is held to determine some characteristic of the offspring.

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Infants that are very recently born, typically considered to be up to one month old.