Question
Dundar Mifflin makes electronic product s for the RCMP. The following data is for the first six months: Direct Labor Hours Manufacturing Overhead January 45,000
Dundar Mifflin makes electronic products for the RCMP. The following data is for the first six months:
Direct Labor Hours
Manufacturing Overhead
January
45,000
$295,000
February
66,000
$308,000
March
57,000
$323,000
April
58,000
$320,000
May
26,000
$176,000
June
29,000
$162,500
Required:
1. Use the high-low method to estimate the cost formula(6 marks)
2. Estimate the total overhead cost at an activity level of 49,000 machine hours, using the separate estimates you obtained for its components.(4 marks)
Dundar Mifflin makes electronic products for the RCMP. The following data is for the first six months:
| Direct Labor Hours | Manufacturing Overhead |
January | 45,000 | $295,000 |
February | 66,000 | $308,000 |
March | 57,000 | $323,000 |
April | 58,000 | $320,000 |
May | 26,000 | $176,000 |
June | 29,000 | $162,500 |
Required:
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Bookkeeping Fundamentals A Beginners Guide To Basic Bookkeeping And Accounting For Business
Authors: Tim Power
1st Edition
1801490058, 978-1801490054
