Question
Total cost @ 5,000 units Total Cost @ 6,000 units Variable Cost per Unit Total Fixed Cost Total Cost @ 7,000 units Direct labor (variable)
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| Total cost @ 5,000 units | Total Cost @ 6,000 units | Variable Cost per Unit | Total Fixed Cost | Total Cost @ 7,000 units |
| Direct labor (variable) | $60,000 | $72,000 |
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| Factory supervision (semi-variable) | $20,000 | $22,000 |
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| Factory depreciation (fixed) | $18,000 | $18,000 |
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Relevant Range and High-Low Method
The following selected data relate to the major cost categories experienced by Sterling Company at varying levels of operating volumes. Assuming that all operating volumes are within the relevant range, calculate the appropriate costs in each column in which blanks appear:
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Operational Risk Management
Authors: Mark D Abkowitz
1st Edition
0470256982, 9780470256985
