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Given the cost formula 48000 = A + $6 X, fixed cost at an activity level of 5,000 units would be: a. $60,000 b. $18,000

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Given the cost formula 48000 = A + $6 X, fixed cost at an activity level of 5,000 units would be: a. $60,000 b. $18,000 C. $36,000 d. $48,000 -Below are cost and activity data for X company. Activity cost First month 440 hours $1460 Second month 395 1370 Third month 410 1400 Fourth month 412 1320 Using the high-low method, if variable cost per hour $2.5, then fixed cost would be: a. 4630 b. 730 C. 830 d. 360 -Assume the following data for Amman company: ales revenue (2000 units) $40000 Total Direct materials 6000 Total direct labor 6000 Total variable manufacturing cost 8000 Total fixed manufacturing cost 12000 Rent a factory building 6000 Insurance a factory building 5000 Advertising expenditures 1000 units to be sold if required target income is $10000, (tax rate 20%): would be: a. 3850 units b. 3750 c. 3550 d. no answer Assume that a firm has prepared the following cost estimates for the manufacture part of telephone component based on annual production of 2000 units: Per unit Direct material $5 Direct labor 4 V, factory,oh, applied 4 F. factory.oh, applied (200% of direct labor) ? Total cost ? The supplier has offered to provide the component part at a price of $16 each. half(50%) of fixed factory overhead, which represents executive salaries, rent, depreciation, and taxes continue regardless of the decision, if the company choose to buy this product, then it costs would be lower: a. $2000 O b. $5000 O C. $6000 d. NO

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