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Boston Railroad decided to use the high-low method and operating data from the past six months...

Boston Railroad decided to use the high-low method and operating data from the past six months to estimate the fixed and variable components of transportation costs. The activity base used by Boston Railroad is a measure of railroad operating activity, termed “gross-ton miles,” which is the total number of tons multiplied by the miles moved.

Transportation Costs Gross-Ton Miles
January $836,600    318,000
February 932,800 355,000
March 659,200 230,000
April 894,300 344,000
May 750,000 277,000
June 961,600 374,000

Determine the variable cost per gross-ton mile and the fixed cost.

Variable cost (Round to two decimal places.) $ per gross-ton mile
Total fixed cost $

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