Question
Lacourse Inc.'s inspection costs are listed below: Units Produced Inspection Costs January 433 $ 6,136 February 383 $ 5,642 March 452 $ 6,351 April 467
Lacourse Inc.'s inspection costs are listed below: Units Produced Inspection Costs
January 433 $ 6,136
February 383 $ 5,642
March 452 $ 6,351
April 467 $ 6,489
May 409 $ 5,892
June 384 $ 5,645
July 459 $ 6,416
August 410 $ 5,905
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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Financial Accounting In An Economic Context
Authors: Jamie Pratt
7th Edition
0470128828, 978-0470128824
