Joyce Murphy runs a courier service in downtown Seattle. She charges clients $0.58 per mile...
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Joyce Murphy runs a courier service in downtown Seattle. She charges clients $0.58 per mile driven. Joyce has determined that if she drives 2,200 miles in a month, her total operating cost is $600. If she drives 3,300 miles in a month, her total operating cost is $798 Required: 1. Using the high-low method, determine Joyce's variable and fixed operating cost components. (Round your cost per unit answer to 2 decimal places.) Variable Cost per Mile Driven Fixed Cost 2. Complete the contribution margin income statement for Joyce's service assuming she drove 1,350 miles last month. (Assume this falls within the relevant range of operations). JOYCE MURPHY Contribution Margin Income Statement For the Last Month Contribution Margin Net Operating Income
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