The best estimate of the total monthly fixed cost

The best estimate of the total monthly fixed cost

Callaham Corporation is a wholesaler
that sells a single product. Management has provided the following cost data
for two levels of monthly sales volume. The company sells the product for
$115.80 per unit.


Sales volume (units)


4,000

5,000

Cost of sales

$338,000

$422,500

Selling and administrative costs

$89,600

$106,000

The best estimate of the
total monthly fixed cost is



Price: £ 45

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