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Managerial Accounting Exercise 4-5. High-Low Method Campus Copy & Printing wants to predict copy machine repair expense at different levels of copying activity (number of copies made). The following data have been gathered: Copy Machine Month Repair Expense Copies Made May 8,500 300,000 June 12,500 500,000 July 20,500 900,000 August 16,500 700,000 September 10,500 400,000
Required: Determine the fixed and variable components of repair expense using the high-low method. Use copies made as the measure of activity. (Enter variable cost per dollar to 2 decimal places, e.g. 0.52.)