Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 4 3 pts Total monthly maintenance costs for Osgood Industries are listed below. Management believes that maintenance cost is a mixed cost that

image text in transcribedimage text in transcribed

Question 4 3 pts Total monthly maintenance costs for Osgood Industries are listed below. Management believes that maintenance cost is a mixed cost that depends on machine hours. Use the high-low method to estimate the variable and fixed components of this cost and answer the following questions. Machine Hours Maintenance Costs March 3,135 hrs $48,340 April 3,095 hrs $47,993 May 3,133 hrs $48,345 June 3,157 hrs $48,548 July 3,065 hrs $47,733 August 3,076 hrs $47,830 A. Compute the variable cost per machine hour. Round to the nearest cent, show 2 decimals, do not use $. For example: 9.30678 9.31; 4.7612 = 4.76 B. Calculate the fixed cost.

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_2

Step: 3

blur-text-image_3

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

Financial and Managerial Accounting the basis for business decisions

Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello

17th edition

007802577X, 978-0078025778

More Books

Students also viewed these Accounting questions

Question

The sine function is an odd function, so sin(-2x) = -2 sin x cos x.

Answered: 1 week ago

Question

Experimental mortality: Did participants drop out during the study?

Answered: 1 week ago

Question

^0 Define return and risk. Discuss the trade-off between them.

Answered: 1 week ago