Recompute the fixed costs, variable cost and the BEP using the high low method.
Info is :
Month Meals Served Total Costs
July 3,500 $20,500
August 4,000 22,600
September 4,200 23,350
October 4,600 24,500
November 4,700 25,000
December 4,900 26,000
I have gotten the fixed costs as $4.29.
26500-20500/4900-3500 = 6000/1400 = 4.29
I am not able to find the variable costs.
20500-3500*4.29 = 20500-15015=5485
26000-4900*4.29 = 26000-21021=4979
THIS DOES NOT EQUAUL SO I KNOW I AM WRONG, PLEASE HELP!
Comment on Just Looking's post
I just noticed that... thank you. This assignment has had me so confused all week I have a million typos, I do apologize.