Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

2. Following are a series of cost behavior graphs. The total cost is shown on the vertical (y) axis and the volume (activity) is shown

image text in transcribedimage text in transcribed

2. Following are a series of cost behavior graphs. The total cost is shown on the vertical (y) axis and the volume (activity) is shown on the horizontal (x) axis. 1(Click the icon to view the graphs) For each of the following situations, identify the graph that most closely represents the cost behavior pattern of the cost in that situation. Some graphs may be used more than once or not at all. a. Monthly factory equipment depreciation, straight-line method is used Graph 4 Monthly electric cost for a convenience store; $50 base monthly fee plus $.006 per kilowatt used b. Graph 2 Total salary costs for a craft supplies store; managers are paid a salary, and the other workers are paid by the hour c. (1) d. (2) Oil disposal fees for an automotive maintenance company. The oil disposal fee is based on two components: a $100 base fee plus a usage fee (to encourage reduction of waste): Up to 10 barrels $ 6 per barrel 11-25 barrels $ 9 per barrel More than 26 barrels $13 per barrel ( 3) Monthly smartphone expense for a mobile grooming business; the phones are billed at a rate of $40 for unlimited voice, data, and text for each cell phone e. f. Wood costs for a table manufacturer; the cost of direct materials per table is $52.00 (4) g. Customer service representatives are paid $15.25 per hour (5) h. Monthly vehicle lease costs for a company that pays $295 month plus $0.25 per mile for any miles driven over 1,000 per month (6) i. Monthly gas bill for the restaurant's delivery vehicles; cost of gas is constant at $1.95 per gallon (7) Monthly copier costs; the lease is $110 per month with a fee of $0.02 per copy for any copies over 50,000 copies in that month j. (8) 1: Graph/Chart VE 2 3 5 6 7 9 10 11 12 Graph 12 (2) O Graph 12 (3) O Graph 12 (1) O Graph 4 O Graph 8 O Graph 1 O Graph 5 O Graph 9 O Graph 2 O Graph 6 Graph 10 O Graph 3 O Graph 7 O Graph 11 O Graph 1 O Graph 2 O Graph 3 O Graph 4 Graph 8 O Graph 5 O Graph 9 O Graph 6 O Graph 10 O Graph 7 O Graph 11 Graph 4 O Graph 8 O Graph 1 O Graph 5 O Graph 9 Graph 2 O Graph 6 O Graph 10 Graph 3 O Graph 7 O Graph 11 (4) O Graph 12 (5) O Graph 12 (6) Graph 12 O Graph 4 O Graph 8 O Graph 1 O Graph 5 O Graph 9 O Graph 2 O Graph 6 O Graph 10 O Graph 3 O Graph 7 O Graph 11 Graph 1 O Graph 2 O Graph 3 Graph 4 O Graph 5 O Graph 6 O Graph 7 O Graph 8 O Graph 9 O Graph 10 O Graph 11 O Graph 1 O Graph 2 O Graph 3 Graph 4 O Graph 5 O Graph 6 O Graph 7 Graph 8 O Graph 9 O Graph 10 O Graph 11 Graph 12 (8) O Graph 12 (7) O O Graph 1 O Graph 2 O Graph 3 O Graph 4 O Graph 8 O Graph 5 O Graph 9 O Graph 6 O Graph 10 O Graph 7 O Graph 11 O Graph 4 O Graph 8 O Graph 1 O Graph 5 O Graph 9 O Graph 2 O Graph 6 O Graph 10 Graph 3 O Graph 7 O Graph 11

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Intermediate Accounting

Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones

10th Edition

978-0324300987

Students also viewed these Accounting questions

Question

What is a verb?

Answered: 1 week ago