Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Presented below are the production data for the mixed costs incurred by Gore Industries. Month Cost Units March $6,300 4,500 April 6,624 5,000 May 6,450

Presented below are the production data for the mixed costs incurred by Gore Industries.

Month

Cost

Units

March

$6,300

4,500

April

6,624

5,000

May

6,450

4,800

June

9,500

8,500

July

7,800

6,800

August

8,336

7,600

Gore Industries uses the high-low method to estimate mixed costs.

How would the cost function be stated?

Y = $2,700 + $0.80X
Y = $2,700 + $1.40X
Y = $6,300 + $0.80X
Y = $9,500 + $1.40 X

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

An Introduction To Statistical Sampling In Auditing

Authors: Dan M. Guy

1st Edition

0471042323, 978-0471042327

More Books

Students also viewed these Accounting questions

Question

Brief the importance of span of control and its concepts.

Answered: 1 week ago

Question

What is meant by decentralisation?

Answered: 1 week ago