Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

HIGH-LOW COST PROBLEM 2 - Show work! (19 points) Use the High-low Method to determine the following for Rising Star, Inc.'s administrative expenses. Based on

image text in transcribed

HIGH-LOW COST PROBLEM 2 - Show work! (19 points) Use the High-low Method to determine the following for Rising Star, Inc.'s administrative expenses. Based on an analysis of the company's operations, it was determined that the number of employees is related to administrative expenses. 394 Month Number of Employees January February 180 March 435 April 589 May 582 June 178 Costs Incurred $5,773.92 $2,890.11 $6,104.25 $8,003.50 $8,125.66 $3,297.55 What is the variable cost per employee? b) What are the fixed costs per month? c) What is the cost formula for the administrative expenses of Rising Star, Inc.? What is the total projected cost for a month in which there are 458 employees

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

The Internal Auditing Handbook

Authors: K. H. Spencer Pickett

1st Edition

0471969117, 978-0471969112

More Books

Students also viewed these Accounting questions

Question

How does selection differ from recruitment ?

Answered: 1 week ago

Question

Write a letter asking them to refund your $1,500 down payment.

Answered: 1 week ago