Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

choices for no.4 and no.6 are: -fixed cost -number of airplane flight hours -variable rate High-Low Method, Cost Formulas During the past year, the high

choices for no.4 and no.6 are:
-fixed cost
-number of airplane flight hours
-variable rate image text in transcribed
image text in transcribed
High-Low Method, Cost Formulas During the past year, the high and low use of three different resources for Fly High Airlines occurred in July and April. The resources are airplane depreciation, fuel, and airplane maintenance. The number of airplane night hours is the driver. The total costs of the three resources and the related number of airplane flight hours are as follows: Airplane Flight Resource Hours Total Cost Airplane depreciation: High 44,000 $ 18,200,000 Low 28,000 $ 18,200,000 Fuel: High 44,000 445,896,000 Low 28,000 283,752,000 Airplane maintenance: High 44,000 16,408,000 Low 28,000 12,152,000 Required: Use the high-low method to answer the following questions. If an answer is zero, enter "o". If required, round your answers to nearest dollar 1. What is the variable rate for airplane depreciation? per flight hour What is the fixed cost for airplane depreciation? 2. What is the cost formula for airplane depreciation? Total cost of airplane depreciation - S 3. What is the variable rate for fuel? per flight hour What is the fixed cost for fuel? 4. What is the cost formula for fuel? Total cost of fuel = $ X 5. What is the variable rate for airplane maintenance? per flight hour What is the fixed cost for airplane maintenance? 6. What is the cost formula for airplane maintenance? Total cost of airplane maintenance +( 7. Using the three cost formulas that you developed, predict the cost of each resource in a month with 36,000 airplane flight hours. (Note: Do not round Intermediate calculations.) Total cost of airplane depreciation Total cost of fuel Total cost of airplane maintenance

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

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

How To Audit The Process Based QMS

Authors: Dennis R. Arter, Charles A. Cianfrani, Jack West

1st Edition

0873895770, 978-0873895774

More Books

Students also viewed these Accounting questions

Question

Evaluate the impact of unions on nurses and physicians.

Answered: 1 week ago

Question

Describe the impact of strikes on patient care.

Answered: 1 week ago

Question

Evaluate long-term care insurance.

Answered: 1 week ago