c. $120,000 d. $450,000 QUESTIONS Given the following cost and activity observations for Smithson Company's utilities, use the high-low method to determine Smithson's fixed costs per month. Do not round your intermediate calculations. January Cost $52,200 75,000 57,000 64,000 Machine Hours 20,000 29,000 22,000 24,500 February March April a. $22,800 b. $2,530 c $50,600 d. $1,533 QUESTION 6 The condensed income statement for a Fletcher Inc. for the past year is as follows: Product Total $850.000 $ 300.000 $210.000 S 340.000 Sales Costs: Click Save and Submit to save and submit. Click Save All Answers to save all answers. Remaining urs, 18 minutes, 08 seconds. Questior etion Status: C. 550,000 d. $1,533 QUESTION 6 The condensed income statement for a Fletcher Inc. for the past year is as follows: Product $ 300.000 $210.000 $340.000 Total $850.000 Sales Costs: Variable costs Fixed costs Total costs Income (los) $(180,000) _(50.000) $(230.000) $ 70,000 S(180,000) S(220,000) _(50.000) (40.000) $230,000) $(260.000) S (20,000) $ 80,000 S(590,000) (140,000) SC730,000) $ 120,000 Management is considering the discontinuance of the manufacture and sale of Product G at the beginning of the current year. The discontinuance would have no effect on the total fixed costs and expenses or on the sales of Products F and H. The amount of change in profit for the current year that will result from the discontinuance of Product G is a a. $30,000 decrease b. $30,000 increase c. $20,000 decrease d. $20,000 increase QUESTION 7 A company with $70,000 in current assets and 550,000 in current liabilities pays a $1,000 current liability. As a result of this transaction, the current ratio and working capital will Sose ESTION 6 ondensed income statement for a Fletcher Inc. for the past year is as follows: Product Total $ 300.000 $ 210.000 $340,000 $ 850,000 sts: ariable costs Fixed costs Total costs ome (loss) $(180,000) _(50.000) | $(230,000 $ 70,000 S(180,000) _(50.000) $(230.000) $ (20,000) $(220,000) (40.000) $(260.000) $ 80,000 S(590,000) (140.000 $(730.000 $ 120,000 anagement is considering the discontinuance of the manufacture and sale of Product G at the beginning of th effect on the total fixed costs and expenses or on the sales of Products F and H. The amount of change in pm e discontinuance of Product G is a a. $30,000 decrease b. $30,000 increase c. $20,000 decrease