Bruno Company accumulates the following data concerning a mixed cost, using miles as the activity level.

Miles Driven Total Cost Miles Driven Total Cost

JAN 8,020 $14,155 MARCH 8,510 $15,010

FEB 7,490 13,480 APRIL 8,190 14,495

Compute the variable cost per mile using the high-low method.

Variable cost per mile___

2.Markowis Corp. has collected the following data concerning its maintenance costs for the past 6 months.

Units Produced Total Cost

July 19,476 $38,952

August 34,624 51,936

September 38,952 59,510

October 23,804 41,116

November 43,280 80,609

December 41,116 67,084

Compute the variable cost per unit using the high-low method.

Variable cost per unit____

Compute the fixed cost elements using the high-low method.

Fixed costs____

3.Presto Corp. had total variable costs of $174,933, total fixed costs of $168,600, and total revenues of $306,900.

Compute the required sales in dollars to break even. (Round answer to 0 decimal places, e.g. 1,225.)

4.For Astoria Company, actual sales are $11,226,000, and break-even sales are $6,209,000.

Compute the margin of safety in dollars.

Margin of safety $______

5.The Palmer Acres Inn is trying to determine its break-even point during its off-peak season. The inn has 50 rooms that it rents at $50a night. Operating costs are as follows.

Salaries$5,000per month

Utilities$1,000per month

Depreciation$900per month

Maintenance$1,100per month

Maid service$10per room

Other costs $20 per room

Determine the inn's break-even point in number of rented rooms per month.

Break-even point

6.Naylor Company had $150,600of net income in 2016 when the selling price per unit was $150, the variable costs per unit were $90, and the fixed costs were $570,600. Management expects per unit data and total fixed costs to remain the same in 2017. The president of Naylor Company is under pressure from stockholders to increase net income by $60,600in 2017.

Compute the number of units sold in 2016. _______ units sold in 2016