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At an activity level of 6,000 units the cost for maintenance is $7,200 and at 10,000 units the cost for maintenance is $11,600. Using the high-low method, the cost formula for maintenance is:
a. $1.20 per unit
b. $1.16 per unit
c. $1,200 plus $1.10 per unit
d. $600 plus $1.10 per unit
Each fund must account for interfund activity as if it were a separate accounting entity.
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