How do determine variable cost per unit and total fixed cost

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High-Low Method

The manufacturing costs of Ackerman Industries for the first three months of the year follow:

Total Costs Units Produced

January $1,900,000 20,000 units

February 2,250,000 27,000

March 2,400,000 30,000

Question 1: Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. Round all answers to the nearest whole dollar.

a. Variable cost per unit

b. Total fixed cost

Reference no: EM132610597

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