The following information is available for a company's maintenance cost over the last seven months. Maintenance...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The following information is available for a company's maintenance cost over the last seven months. Maintenance Cost Month Units Produced June 110 July 170 August 130 September 160 October 220 November 250 70 $ 4,510 5,950 4,990 5,710 7,150 7,870 3,550 December Using the high-low method, estimate both the fixed and variable components of its maintenance cost. High-Low method - Calculation of variable cost per unit produced Cost at highest volume - Cost at lowest volume Highest volume - Lowest volume Total cost at the highest volume Variable costs at highest volume: Highest volume Variable cost per unit produced Total variable costs at highest volume Total fixed costs Total cost at the lowest volume Variable costs at lowest volume: Lowest volume Variable cost per unit produced Total variable costs at lowest volume Total fixed costs 0 The following information is available for a company's maintenance cost over the last seven months. Maintenance Cost Month Units Produced June 110 July 170 August 130 September 160 October 220 November 250 70 $ 4,510 5,950 4,990 5,710 7,150 7,870 3,550 December Using the high-low method, estimate both the fixed and variable components of its maintenance cost. High-Low method - Calculation of variable cost per unit produced Cost at highest volume - Cost at lowest volume Highest volume - Lowest volume Total cost at the highest volume Variable costs at highest volume: Highest volume Variable cost per unit produced Total variable costs at highest volume Total fixed costs Total cost at the lowest volume Variable costs at lowest volume: Lowest volume Variable cost per unit produced Total variable costs at lowest volume Total fixed costs 0
Expert Answer:
Answer rating: 100% (QA)
Lets apply the highlow method to estimate the fixed and variable components of the maintenance cost ... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Northwind Traders is a fictitious specialty foods company created by Microsoft, which has also created a fictitious database for the company. The Northwind database includes several tables, including...
-
Discuss England's current financial markets and its most recent monetary policy
-
A 64-kg snowboarder travels down a ramp inclined at an angle of 38 below the horizontal. Part A If the force of gravity does 2.0x104 J of work on her during her descent, over what distance does she...
-
1- What signal is produced if the sampling frequency is equal to Fm? 2- Find the range of the cutoff frequency funt for LPF required to reconstruct the original signal from the sampled one. 3- If the...
-
Ann Kuhl, M.D., of Canmore, uses the following chart of accounts: The headings of the synoptic journal are as follows: Required a. Journalize the transactions listed below in the synoptic journal. b....
-
How do the institutional and government markets differ from business markets?
-
Read the article The Top 50 Problems with Performance Appraisals at www.eremedia.com/tlnt/the-top-50-problems-with-performanceappraisals/ (Sullivan 2011). According to the chapter, what steps can be...
-
Dickinson Inc. owns the following assets. Compute the composite depreciation rate and the composite life of Dickinson's assets. Estimated Useful Life 10 years Cost Asset Salvage A $70,000 $ 7,000...
-
how do you calculate ROA using a financial calculator
-
Today is September 16, Year 2. You, CPA, work for Garcia & Garcia LLP, a medium-sized firm located in Montreal. Jules Garcia calls you into his office. "CPA, I have a very special engagement for you....
-
1. Russo Cabinets is a custom cabinet builder. They recently completed a set of kitchen cabinets (Job #1887), as summarized below: Job Number: #1887 Date started: 4/17/20x5 Date completed: 4/29/20x5...
-
1. Identify one selection bias you tended to have when interviewing or perceiving others in the past, and discuss how you have come to aware of this bias. 2. Discuss two ways you think will be...
-
Risk Management is a function that is often included in the HR role in small to mid-size organizations. It can incorporate multiple functions, such as; safety, OSHA compliance, risk assessment and...
-
Fun With Finance is considering a new 3-year expansion project that requires an initial fixed asset investment of $1.89 million. The fixed asset will be depreciated straight-line to zero over its...
-
y = 36x + 25 b) Find the maxima and minima of 173-20
-
she purchased the followings assets and placed them in service in her sewing business in 2022. determine if she will use HY OR MQ convention for the bellow assets. she also placed an office building...
-
Caso 3Julia Price quiere conducir un BMWHan pasado casi 15 aos desde que Julia se gradu con unaespecializacin en ingeniera aeronutica, y ahora gana "muchodinero" trabajando como gerente 1 answer
-
In Exercises, find the equation of the tangent line at the given point on each curve. 2y 2 - x = 4; (16, 2)
-
Which of the following affects the present value of an investment? a. the interest rate b. the number of time periods (length of the investment) c. the type of investment (annuity versus single lump...
-
Order the capital budgeting process (Learning Objective 1) Place the following activities in sequence to illustrate the capital budgeting process: a. Budget capital investments b. Project...
-
Compute payback period-equal cash inflows (Learning Objective 2)} Refer to the Allegra Data Set. Calculate the CD-player project's payback period. If the CD project had a residual value of \(\$...
Study smarter with the SolutionInn App