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Using the high-low method, Vogel Corp. has $90,000 of mixed costs for 31,000 units produced in...

Using the high-low method, Vogel Corp. has $90,000 of mixed costs for 31,000 units produced in June and $83,000 for 27,000 units produced in October.

Vogel's variable cost per unit (to the nearest penny) is:

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Expert Solution

Units Produced Total cost
High LEVEL                                             31,000                                             90,000
Low Level                                             27,000                                             83,000
Change 4000 7000
Change per unit (Variable cost) =Change in Total cost/ Change in Units Produced
Change in Total cost 7000
Change in Units Produced 4000
Variable cost per unit 1.75

ekkarill92 answered 3 years ago
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