[chizzy4real]

Thank you very much sir.

[chizzy4real]

Another question please??

Berry has recorded the following costs over the last six months
month total cost units produced
‘000 ‘000
1 74.00 3.00
2 72.75 1.75
3 73.25 2.00
4 75.00 2.50
5 69.50 1.50
6 72.75 2.00
Using the high – low method what would be the total cost equation?
The correct answer is

Total cost = 65,000 + 3 x Quantity .

I try to calculate with high-low method, but am getting a different answer.. so, am wondering if high – low method even have an equation?? Which I have not even come across in my studies… can you help me explain the High-Low method equation and how is the answer ; 65,000 + 3 * Quantity.?

Thanks.

[chizzy4real]

Thanks @ secondstar.its really help. God bless you.

[chizzy4real]

Yes sir. It was really mistyped by the book itself. I just worked it out with the $8,000 and I got the right answer from the given options. Thank you very much sir. You are wonderful sir. God Bless you!.

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