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Compute the projected amount of fixed cost per month

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Question - Production in 2007 for Stowe Snow Mobile was at its highest point in the month of June when 40 units were produced at a total cost of $600,000. The low point in production was in January when only 15 units were produced at a cost of $340,000. The company is preparing a budget for 2008 and needs to project expected fixed cost for the budget year. Using the high/low method, compute the projected amount of fixed cost per month.

Reference no: EM132079289

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