Question
Lacourse Inc.'s inspection costs are listed below: Units Produced Inspection Costs January 428 $ 6,126 February 378 $ 5,637 March 447 $ 6,341 April 462
Lacourse Inc.'s inspection costs are listed below:
| Units Produced | Inspection Costs | |||||
| January | 428 | $ | 6,126 | |||
| February | 378 | $ | 5,637 | |||
| March | 447 | $ | 6,341 | |||
| April | 462 | $ | 6,479 | |||
| May | 404 | $ | 5,887 | |||
| June | 379 | $ | 5,640 | |||
| July | 454 | $ | 6,406 | |||
| August | 405 | $ | 5,900 | |||
Management believes that inspection cost is a mixed cost that depends on units produced.
Using the least-squares regression method, the estimate of the fixed component of inspection cost per month is closest to:
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Trust Me Im Almost An Auditor
Authors: Lily Hazelwood
1st Edition
1791960405, 978-1791960407
