M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first half of the year: Month Appointments Number of Total Cost January 150 $ 5,550 February 225 5,950 March 275 6,950 April 450 6,750 425 325 6,650 6,100 May June Required: Using the high-low method, calculate the total fixed cost per month and the variable cost per tanning appointment. Note: Round your "Variable cost per unit" answer to 2 decimal places and "Fixed cost" answer to the nearest dollar amount. Variable Cost per Unit Fixed Cost M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first half of the year: Month Appointments Number of Total Cost January 150 $ 5,550 February 225 5,950 March 275 6,950 April 450 6,750 425 325 6,650 6,100 May June Required: Using the high-low method, calculate the total fixed cost per month and the variable cost per tanning appointment. Note: Round your "Variable cost per unit" answer to 2 decimal places and "Fixed cost" answer to the nearest dollar amount. Variable Cost per Unit Fixed Cost
Expert Answer:
Related Book For
Managerial Accounting
ISBN: 978-0078025518
2nd edition
Authors: Stacey Whitecotton, Robert Libby, Fred Phillips
Posted Date:
Students also viewed these accounting questions
-
A system has two components C1 and C2 , which work in series (i.e., when one component fails, the system fails). Suppose that components fail at rates i , and can be repaired at rates i , i = 1, 2....
-
using python code, with each step when mean=0.08024947885631327 std= 0.998728807293671 c. [7 points] Using the results of mean and std , follow the steps below: 1. find the number of data points with...
-
When it comes to learning about virtue , it is necessary to act these virtues out in real life and establish a habit of virtue.
-
Corporation Growth has $83,000 in taxable income, and Corporation Income has $8,300,000 in taxable income. (Refer to Table 2.3) What is the tax bill for each firm? Suppose both firms have identified...
-
Draw the folium of Descartes x = 3t / (t3 + 1), y = 3t2 / (t3 + 1), then determine the values of t for which this graph is in each of the four quadrants.
-
EVM has significant value for a project leader. The EVM provides a way to compare the current progress of a given project with what was expected. The project manager will be able to see where the...
-
What types of leases are capitalized by a lessee? Under what condition would a lessee not capitalize a lease?
-
Sarah OHann enjoyed taking her first auditing course as part of her undergraduate accounting program. While at home during her semester break, she and her father discussed the class and it was clear...
-
A company showed the following information in its payroll register for the week ended March 16, 2018: How TO: General Journal entry to record the payroll register information. General Journal entry...
-
1. If you were in Jimmies shoes, would you sell Greg an equity stake in Lees Ice Cream? Explain. If Jimmie does sell equity to Greg for $3,300, what percentage of the business should he offer? 2....
-
Use the labels to complete a flow chart demonstrating the preparation of an ethanol/water solution. Also carry out density (p) calculations for each liquid based upon the sample values given. g...
-
What problems arise when cryptography is used as a control in a shared database environment? How can these problems be overcome, at least to some extent, using a hierarchy of cryptographic keys?
-
Describe and compare the various types of uncommitted and committed loan facilities provided by banks.
-
Describe and explain the different ways banks try to mitigate risk in their lending operations.
-
Compare and contrast (describe and explain the relative advantages and disadvantages) of an overdraft versus a term loan versus project finance versus a syndicated loan.
-
Why should application programs that use standing data print control totals to allow users to determine whether any changes have been made to standing data?
-
Tora Company plans to produce 1,100 units in July. Each unit requires four hours of direct labor. The direct labor rate is $27 per hour. Prepare a direct labor budget for July. Units to produce TORA...
-
Frontland Advertising creates, plans, and handles advertising campaigns in a three-state area. Recently, Frontland had to replace an inexperienced office worker in charge of bookkeeping because of...
-
Procter & Gamble is a multinational corporation that manufactures and markets many products that you use every day. In 2010, sales for the company were $78,938 (all amounts in millions). The annual...
-
Violet Company has sales of $520,000, net operating income of $310,000, average invested assets of $940,000, and a hurdle rate of 10 percent. Calculate Violets return on investment and its residual...
-
The following information is available for Walker Industries: Beginning work in process inventory . $ 30,000 Ending work in process inventory ... 25,000 Cost of goods manufactured ...... 180,000...
-
10. ROLE REVERSAL Write a short-answer question focusing on one of the following: a fixture, an easement, or adverse possession.
-
11. ROLE REVERSAL Write a multiple-choice question highlighting the difference between any two of the following: a contract, an inter vivos gift, or a gift causa mortis.
-
Question: Shannon borrows Marty's car, but when she returns the auto, she hands the keys to Scott, who claims he is Marty's brother. Scott offers a driver's license and passport to reassure Shannon....
Study smarter with the SolutionInn App