Calculate the Variable and Fixed cost using the high low method. Total costs Total Miles January $70,000.00 2,000 Feb. $100,000.00 5,000 March $78,000.00 2,500 April $85,000.00 2,700 May $90,000.00 4,000 A) What is the variable costs per mile? Total costs Total Miles High Month $100,000.00 5,000 Low Month $70,000.00 2,000 Difference $30,000.00 3,000 V. C. = B) What is the fixed cost per month? High Low Total Costs $100,000.00 70,000 Less Variable Costs 50,000 20,000 = Fixed Costs $50,000.00 50,000 C) What is the relevant range? D) What is the cost formula? E) What is the predicted total costs for 3,000 miles?

Haley photocopying purchases a paper from an out-of-state vendor. average weekly demand for paper is 150 cartons per week for which haley pays $15 per carton. in bound shipments from the vendor average 1000 cartoons with an average lead time of 3 weeks. haley operates 52 weeks per year; it carries a 4-week supply of inventory as safety stock and no anticipation inventory. the vendor has recently announced that they will be building a faculty near haley photocopying that will reduce lead time to one week. further, they will be able to reduce shipments to 200 cartons. haley believes that they will be able to reduce safety stock to a 1-week supply. what impact will these changes make to haley’s average inventory level and its average aggregated inventory value?