Frank Company Operates a Cafeteria for Its Employees

question 182

Multiple Choice

Frank Company operates a cafeteria for its employees.The number of meals served each week over the last seven weeks,along with the total costs of operating the cafeteria are given below: Assume that the relevant range includes all of the activity levels mentioned in this problem. Using the high-low method of analysis,the variable cost per meal served in the cafeteria would be estimated to be:

• A)$1.50
• B)$2.00
• C)$2.80
• D)$1.00

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Definitions:

Ethical Standards

Principles that guide the behavior of individuals and organizations in conducting their activities in a morally right and fair manner.

Stock Prices

The market value per share at which a company's stock is bought or sold on the stock exchange.

Company's Stock

Represents ownership shares in a corporation, giving stockholders a claim on part of the company's assets and profits.

Corporate Philanthropy

The act of corporations donating some of their profits or resources to charitable causes.