Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

2 3 The Beryl-Lin Centre provides training sessions in personal development and time management. The company is relatively new and management is seeking information regarding

image text in transcribed
image text in transcribed
2 3 The Beryl-Lin Centre provides training sessions in personal development and time management. The company is relatively new and management is seeking information regarding the Centre's cost structure. The following information has been gathered since the inception of the business in January of the current year: 6 9 Question 3 (10 points) Using the high-low method, estimate the variable cost per seminar and the total fixed cost per month. (10 marks) I Team Spirit imprints calendars th college and university names. The company has fixed expenses of $1,035,000 each month plus variable expenses of $3.60 per carton of calendars. Of the variable expense, 70% is cost of goods sold, while the remaining 30% relates to variable operating expenses. Team Spirit sells each carton of calendars for $10.50. The following data (in thousands of dollars) have been taken from the accounting records of Miley Corporation for the year just completed: Sales $870 Purchases of raw materials $110 Direct labour $130 Manufacturing overhead $200 Administrative expenses $160 Selling expenses $140 Raw materials inventory, beginning $ 30 Raw materials inventory, ending $ 60 Work-in-process inventory, beginning $ 50 Work-in-process inventory, ending $ 10 Finished goods inventory, beginning $150 Finished goods inventory, ending $140 al 2 3 The Beryl-Lin Centre provides training sessions in personal development and time management. The company is relatively new and management is seeking information regarding the Centre's cost structure. The following information has been gathered since the inception of the business in January of the current year: 6 9 Question 3 (10 points) Using the high-low method, estimate the variable cost per seminar and the total fixed cost per month. (10 marks) I Team Spirit imprints calendars th college and university names. The company has fixed expenses of $1,035,000 each month plus variable expenses of $3.60 per carton of calendars. Of the variable expense, 70% is cost of goods sold, while the remaining 30% relates to variable operating expenses. Team Spirit sells each carton of calendars for $10.50. The following data (in thousands of dollars) have been taken from the accounting records of Miley Corporation for the year just completed: Sales $870 Purchases of raw materials $110 Direct labour $130 Manufacturing overhead $200 Administrative expenses $160 Selling expenses $140 Raw materials inventory, beginning $ 30 Raw materials inventory, ending $ 60 Work-in-process inventory, beginning $ 50 Work-in-process inventory, ending $ 10 Finished goods inventory, beginning $150 Finished goods inventory, ending $140 al

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions