Cima C01 Exam Question No 13

Question No 13

A hospital’s records show that the cost of carrying out health checks in the last five accounting periods have been as follows:
Period         Number of patients seen            Total cost ($)
1            650                                                        17,125
2            940                                                        17,800
3            1260                                                      18,650
4            990                                                        17,980
5            1150                                                      18,360
Using the high-low method and ignoring inflation, the estimated cost of carrying out health checks on 850 patients in period 6 is:

A. $17,515
B. $17,570
C. $17,625
D. $17,680

Answer: C