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Colter Company accumulates the following data concerning a mixed cost, using units produced as the activity level.
Units Produced
Total Cost
March
10,000
$18,000
April
9,000
16,650
May
10,500
18,750
June
8,800
16,200
July
9,500
17,100
(a) Compute the variable and fixed cost elements using the high-low method.
(b) Estimate the total cost if the company produces 8,500 units.
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