Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The following information is related to manufacturing overhead costs. MOH cost pool includes depreciation (fixed, 10000 dollars per month), indirect material (variable, 2 dollars per
The following information is related to manufacturing overhead costs. MOH cost pool includes depreciation (fixed, 10000 dollars per month), indirect material (variable, 2 dollars per unit) and supervision (semi-variable). During the last six months, the highest activity level was in May (1720 units produced) and total MOH cost was $35300. The lowest activity level was in March (1320 units produced) and total MOH cost was $31300. a.) Write the cost formula of supervision (use the high-low method). b.) Estimate Total MOH for July (1800 units produced) by using the data of the year's first six months. The following information is related to manufacturing overhead costs. MOH cost pool includes depreciation (fixed, 10000 dollars per month), indirect material (variable, 2 dollars per unit) and supervision (semi-variable). During the last six months, the highest activity level was in May (1720 units produced) and total MOH cost was $35300. The lowest activity level was in March (1320 units produced) and total MOH cost was $31300. a.) Write the cost formula of supervision (use the high-low method). b.) Estimate Total MOH for July (1800 units produced) by using the data of the year's first six months
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started