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The total costs incurred at various output levels by Nonsense Company Ltd for a process operation at their Clarendon factory are as follows: Output Units

  1. The total costs incurred at various output levels by Nonsense Company Ltd for a process operation at their Clarendon factory are as follows:
Output Units Total Costs $
11 500 102 476
12 000 104 730
12 500 106 263
13 000 108 021
13 500 110 727
14 000 113 201

The level of fixed costs incurred is equal to?

2. If fixed costs are $600,000, variable cost are $50 per unit, then the total cost for an activity level of 10,000 units assuming a linear cost relationship is: CLO2

a) $600,000

b) $650,000

c) $500,000

d) $1,100,000

3. The following data relate to two output levels of a department: CLO2 Machine hours 18,000 20,000 Overheads $ $380,000 $390,000 The variable overhead rate was $5 per hour. The amount of fixed overhead was a. $230,000 b. $240,000 c. $250,000 d. $290,000

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