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Please solve question 4 and 6, and please show steps Type of Cost Insurance Utilities Depreciation Materials JanuaryFebruary 20,000 547,000 1,072,000 9,000 495,000 S 20,000
Please solve question 4 and 6, and please show steps
Type of Cost Insurance Utilities Depreciation Materials JanuaryFebruary 20,000 547,000 1,072,000 9,000 495,000 S 20,000 9,000 156,000 Refer to Figure 3-6. Assume that output was 15,000 units in January and 30,000 units in February, utility cost is a mixed cost, and the fixed cost of utilities was $22,000. What was the variable rate per unit of output for utilities cost? a. $22.60 b. $35 c. $57.60 d. $1.47 5 VI If output increases a. per-unit fixed costs will decrease. b. total variable costs will decrease. d. total fixed costs will increase d. All of these are correct. Anderton Corporation has provided the following production and average cost data for two levels of monthly production volume. The company produces a single product. Production volume Direct m Direct Labor Manufacturing overhead.. 4,000 units $55.00 per unit $32.50 per unit $60.00 per unit 9,000 units $55.00 per unit $32.50 per unit $40.00 per unit The best estimate of the total monthly fixed manufacturing cost is: \ 17.5 a. $55,385 b. $216,000 c. $268,000 d. $144,000 77 5-1 75-_ 7. If output increases by 50% and is still within the relevant range a. b. c, d. total fixed costs will increase by 50% per-unit fixed costs will remain the same total variable costs will increase by 50% None of these are correct. The relevant range a. Limits cost relationship to the range of operations normally expected b. Is the range of output where cost relationships are valid. c. Allows managerial accountants to assume a linear cost relationship 8. d. All of these are correctStep by Step Solution
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