Question
The Western Company presents the production and cost data for the first six months of the 2015. Month Units produced Mixed costs ($) January 15000
The Western Company presents the production and cost data for the first six months of the 2015.
Month | Units produced | Mixed costs ($) |
|---|---|---|
January | 15000 | 45000 |
February | 18000 | 56000 |
March | 22000 | 60000 |
April | 16000 | 48000 |
May | 30000 | 75000 |
June | 26000 | 62000 |
Required:Using the high-low point method, determine the followings:
- Estimated variable cost rate.
- Fixed cost.
- Also determine the cost function based on data given above.
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Financial and Managerial Accounting Using Excel for Success
Authors: James Reeve, Carl S. Warren, Jonathan Duchac
1st edition
1111535221, 1111535223, 9781285400914 , 978-1111993979
