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5 Walton Woodcraft Company manufactures antique wooden cabinets to house modern televisions. The Company began operations in January of last year. Sidney Myrick, the owner,
5 Walton Woodcraft Company manufactures "antique" wooden cabinets to house modern televisions. The Company began operations in January of last year. Sidney Myrick, the owner, asks for your assistance. He believes that he needs to better understand the cost of the cabinets for pricing purposes. You have collected the following data concerning actual production over the past year: Number of Cabinets Total Cost Month January Produced 820 $21,100 February 3,700 33,200 eBook March 1,980 29,900 April 620 18,800 May 1,590 28,400 June 1,280 27,400 July 1,140 25,100 August 1,710 31,700 September 2,290 32,300 October 2,940 31,800 November 3,280 December 370 32,600 6,560 Required a. To understand the department's cost behavior, you decide to plot the points on graph paper and sketch a total cost line. (1) Enter the number of units and their costs in increasing order. b. Using the high-low method, compute the total cost equation for the preceding data. (1) Compute the variable cost per unit. (2) Compute total fixed costs. (4) Calculate the total cost assuming 1,600 cabinets are made. Complete this question by entering your answers in the tabs below. Required A Required B Enter the number of units and their costs in increasing order. Month Number of Cabinets Produced Total Cost
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