1) Recent maintenance costs of Prideaux Corporation are listed below: Management believes that maintenance cost is a mixed cost that depends on machine-hours. Using the least-squares regression method, the estimate of the fixed component of maintenance cost per month is closest to:

		$2,859
		$8,241
		$8,550
		$2,782

2)

Data from Kooistra Corporation's most recent balance sheet appear below: Sales on account in Year 2 amounted to $1,270 and the cost of goods sold was $770. The average sale period for Year 2 is closest to:

51.7 days

221.3 days

78.2 days

85.3 days

3)

The Phelps Company applies overhead costs to products on the basis of standard direct labor-hours. The standard cost card shows that 5 direct labor-hours are required per unit of product. Phelps Company had the following budgeted and actual data for March: The budgeted direct labor-hours is used as the denominator activity for the month. The fixed manufacturing overhead budget variance for March is:

		$2,000 favorable
		$500 favorable
		$2,000 unfavorable
		$2,500 favorable