34. (Total cost determination with mixed cost) Heathcliff Accounting Services pays $400 per month for a tax
Question:
34. (Total cost determination with mixed cost) Heathcliff Accounting Services pays
$400 per month for a tax software license. In addition, variable charges average
$15 for every tax return the firm prepares.
a. Determine the total cost and the cost per unit if the firm expects to prepare the following number of tax returns in March 2000:
1. 150 2. 300 3. 600
b. Why does the cost per unit change in each of the three cases above?
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Related Book For 
Cost Accounting Traditions And Innovations
ISBN: 9780324180909
5th Edition
Authors: Jesse T. Barfield, Cecily A. Raiborn, Michael R. Kinney
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