Mathematics · Cost Accounting - High-Low Method
The factory maintenance costs of C Co have a constant variable cost per unit and a fixed cost element. The fixed cost steps up by a certain amount when 20,000 or more units are produced. At 22,000 units, the fixed cost element is $25,000. Total costs are given below: - 18,000 units: $200,000 - 22,000 units: $245,000 What would be the total cost for 19,000 units and 21,000 units respectively?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1$231,660 and $258,940
- 2$210,000 and $230,000
- 3$215,000 and $235,000
- 4$210,000 and $235,000✓
Correct answer
$210,000 and $235,000
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