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if someone could check my work, im confident in my answers past the fixed cost area, but the variable cost per unit area is giving
if someone could check my work, im confident in my answers past the fixed cost area, but the variable cost per unit area is giving me trouble.
Required information [The following information applies to the questions displayed below.] Alden Co.'s monthly unit sales and total cost data for its operating activities of the past year follow. Management wants to use these data to predict future fixed and variable costs. Month 1 2 3 4 5 6 Units Sold 324,000 169,000 269,000 209,000 294,000 194,000 Total Cost $161,500 105,250 209,600 104,000 205,500 116,000 Month 7 8 9 10 11 12 Units Sold 356,000 274,000 75,200 154,000 98,000 104,000 Total Cost $249,136 155,750 61,000 134,625 98,000 77,650 1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. (Do not round intermediate calculations.) High-Low method - Calculation of Variable Cost per unit Cost at high point minus cost at low point Change in cost 0 Change in volume Cost at low point minus cost at high point High-Low method - Calculation of Fixed Costs $ 249,136.00 356,000 units sold Total cost at the high point Variable costs at the high point: Volume at the high point: Variable cost per unit Total variable costs at the high point Total fixed costs 238,520.00 $ 10,616.00 $ 61,000.00 75,200 units sold Total cost at the low point Variable costs at the low point: Volume at the low point: Variable cost per unit Total variable costs at the low point Total fixed costs 0.00Step by Step Solution
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