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Frazier Manufacturing Company collected the following production data for the past month:
Units Produced Total Cost
1,600 $66,000
1,300 57,000
1,500 67,500
1,100 49,500
Problem 1: If the high-low method is used, what is the monthly total cost equation?
Total cost = $13,200 + $33/unit
Total cost = $9,900 + $36/unit
Total cost = $0 + $45/unit
Total cost = $16,500 + $30/unit
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