Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Assume a merchandising company uses the high-low method to separate any mixed costs into their variable and fixed elements. It provided the following income

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

Assume a merchandising company uses the high-low method to separate any mixed costs into their variable and fixed elements. It provided the following income statements: Sales in units Sales Cost of goods sold Gross margin Selling and administrative expenses Advertising Shipping Salaries and commissions Total selling and administrative expenses Net operating income May June July 4,800 $168,000 5,000 $175,000 5,500 $192,500 86,400 90,000 99,000 81,600 85,000 93,500 17,000 17,000 17,000 16,800 17,500 19,250 29,600 30,000 31,000 63,400 64,500 67,250 $18,200 $ 20,500 $26,250 Q.) What is the total estimated selling and administrative expense if the company sells 5,100 units? Multiple Choice $65.350

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_2

Step: 3

blur-text-image_3

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

College Accounting Chapters 1-27

Authors: James A. Heintz, Robert W. Parry

22nd Edition

130566616X, 978-1305666160

More Books

Students also viewed these Accounting questions

Question

In what sense can the historian be objective?

Answered: 1 week ago