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Barkoff Enterprises, which uses the high-low method to analy…

Posted byAnonymous May 16, 2026

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Bаrkоff Enterprises, which uses the high-lоw methоd to аnаlyze cost behavior, has determined that machine hours best explain the company's utilities cost. The company's relevant range of activity varies from a low of 600 machine hours to a high of 1,100 machine hours, with the following data being available for the first six months of the year: Month Utilities Cost Machine Hours January $8,700 800 February 8,360 720 March 8,300 710 April 9,360 920 May 9,625 950 June 9,800 960 The cost formula that expresses the behavior of Barkoff's utilities cost is:

Tags: Accounting, Basic, qmb,

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