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Estimate the fixed cost element of power cost

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Question - At the high level of activity in November, 7,00 machines hours were run and power cost were $12,000. In April, A month of low activity 2,000 machine hours were run and power costs amounted to $6,000. Using the high-low, the estimated fixed cost element of power cost is?

A) $8,400

B) $3,600

C) $6,000

D) $12,000

Reference no: EM131753331

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