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Required information The following information applies to the questions displayed below] Alden Cos monthly unit sales and total cost data for its operating activities of
Required information The following information applies to the questions displayed below] Alden Cos monthly unit sales and total cost data for its operating activities of the past year follow Management wants to use these data to predict future fixed and variable costs Month Units Solo Total cost Month Units Sold Total Cost 1 320,500 $158,000 7 359,500 3274,364 2 165,500 101,750 8 270,500 152,250 3 265,500 206,100 75,900 64,500 4 25,500 100,500 150,580 131,125 200, 500 202,080 94,500 94,500 190, 500 112,500 100, 500 81,150 9 10 11 12 6 1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method (Do not round intermediate calculations.) Change in cost Variable cost per unit $ 074 Change in volume High Low method - Calculation of Variable Cost per unit Cost at high coin minus cost at low point 209.864 Volume at high point minus volume at low point 283.600 High-Low method Calculation of Fixed Costs $ 274,364 00 Total cost at the high point Variable costs at the high point Volume at the high point Variable cost per unit Total variable costs at the high point Total foxed costs 359,500 units sold 0.74 5 $ 64.500.00 Total cost at the low point Variable costs at the low point Volume at the low point Variable cost per unit Total variable costs at the low point Total fixed costs 75 900 units sold 0.74 S 56.166.00 8,334.00 $ Required information [The following information applies to the questions displayed below.] Alden Co.'s monthly unit sales and total cost data for its operating activities of the past year follow Management wants to use these data to predict future fixed and variable costs. Month 1 2 3 4 5 6 Units Sold 320,500 165,580 265,500 285,500 298,580 190,500 Total Cost 5158,000 101,750 206,100 100, 500 282,800 112,500 Month 7 8 9 10 11 12 Units Sold 359,500 270,500 75,908 150,500 94,500 100,500 Total Cost S274,364 152,250 64,500 131,125 94,500 81,150 2. Predict future total costs when sales volume is (a) 389,000 units and (b) 429,000 units. Predictions 389,000 Sales (units) 429,000 Total s 0$ 0
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