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BBB Company accumulates the following data concerning a mixed cost, using units produced as the activity level.
Units Produced Total Cost
March 9,800 $14,740
April 8,500 13,250
May 7,000 11,100
June 7,600 12,000
July 8,100 12,460
REQUIRED:
Question 1: Compute the variable- and fixed-cost elements using the high-low method.
Question 2: Estimate the total cost if the company produces 6,000 units.
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