Cornerstones of Cost Management (Cornerstones Series)
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN: 9781305970663
Author: Don R. Hansen, Maryanne M. Mowen
Publisher: Cengage Learning
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Coastal Dental Care is a specialized dental practice whose only service is
whitening teeth. Coastal has recorded the following for the past nine months:
Month Number of Teeth Whitened Total Cost
January
300
February
250
March
550
April
600
May
350
June
400
July
450
August
225
September 375
$4,200
$3,800
$6,200
$6,500
$4,500
$5,200
$5,700
$3,600
$4,700
1. Use the high-low method to estimate total fixed cost and variable cost per
whitening. (Round your answers to 2 decimal places.)
2. Using these estimates, calculate Coastal's total cost for whitening 700
teeth.
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Transcribed Image Text:Coastal Dental Care is a specialized dental practice whose only service is whitening teeth. Coastal has recorded the following for the past nine months: Month Number of Teeth Whitened Total Cost January 300 February 250 March 550 April 600 May 350 June 400 July 450 August 225 September 375 $4,200 $3,800 $6,200 $6,500 $4,500 $5,200 $5,700 $3,600 $4,700 1. Use the high-low method to estimate total fixed cost and variable cost per whitening. (Round your answers to 2 decimal places.) 2. Using these estimates, calculate Coastal's total cost for whitening 700 teeth.
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