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The management of Casablanca Manufacturing Corporation believes that machine-hours is an appropriate measure of...

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Question

Accounting

The management of Casablanca Manufacturing Corporation believes that
machine-hours is an appropriate measure of activity for overhead cost. Shown
below are machine-hours and total overhead costs for the past six months:
Using the high-low method of analysis, the estimated variable cost per machine hour is
closest to:
A) $0.82
B) $0.87
C) $1.15
D) $1.22
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