Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Toowoomba solar limited wants to find an equation to estimate some of their monthly operating costs for the coming year. The following cost and other

Toowoomba solar limited wants to find an equation to estimate some of their monthly operating costs for the coming year. The following cost and other data were gathered for the previous 12 months:

Month

Maintenance

Machine-hours

Health insurance

Number of employees

Shipping costs

Units shipped

January

2250

1656

4300

68

12888

1432

February

2226

120

4300

75

14832

1648

March

2300

230

4300

92

14337

1593

April

2425

318

4300

105

11529

1281

May

2583

460

4300

89

10647

1183

June

2380

280

4300

87

16641

1849

July

2455

340

4300

93

15714

1746

August

2480

360

4300

88

15147

1683

September

2535

420

4300

95

12555

1395

October

2625

495

4300

102

12933

1437

November

2655

510

4300

97

10062

1118

December

2380

275

4300

94

17298

1922

  1. Which of the above costs is variable? Fixed? Mixed? Explain.
  2. Using the high-low method, determine the cost function for mixed cost.
  3. Combine the information above to get a monthly utility cost function for TSL.
  4. Next month, TSL expects to use 400 machine-hours, have 80employees and ship 2000 units. Estimate total operating cost for the month.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions

Question

6. Explain the power of labels.

Answered: 1 week ago

Question

5. Give examples of variations in contextual rules.

Answered: 1 week ago

Question

f. What stereotypes were reinforced in the commercials?

Answered: 1 week ago