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dear sir/madam,
i am having a problem on solving this question please help understand it and teach me how to approach such problems in future. here is the question..The data below has been extracted from the costing accounting records of a company.The data show the total cost and the inflation index relevant to the period in which the costs were incurred.
Output level 3000 units 4000 units
Total cost $9167 $11760
Inflation index 1.03 1.03
The best estimate of the variable cost per unit of output at an inflation index of 1.06, to the nearest 0.01 is?
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