Question

The following costs were for Bikeway Inc., a bicycle manufacturer that uses

the high-low method:

OutputFixed CostsVariable CostsTotal Costs800$25,000$80,000$105,000850$25,000$85,000$110,000900$25,000$90,000$115,000950$25,000$95,000$120,000

At an output level of 1,000 bicycles, per unit variable cost is calculated to be:

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