Please answer both.
High-Low Method for a Service Company
Boston Railroad decided to use the high-low method and operating
data from the past six months to estimate the fixed and variable
components of transportation costs. The activity base used by
Boston Railroad is a measure of railroad operating activity, termed
"gross-ton miles," which is the total number of tons multiplied by
the miles moved.
Transportation Costs
Gross-Ton Miles
January
$1,008,400
298,000
February
1,124,300
333,000
March
794,600
216,000
April
1,078,000
323,000...