Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Using the high-low method, estimate both the fixed and variable components of its maintenance cost. High-Low method-Calculation of variable cost per unit produced Total cost

Using the high-low method, estimate both the fixed and variable components of its maintenance cost. High-Low method-Calculation of variable cost per unit produced Total cost at the high point Variable costs at the high point Volume at the high point: Variable cost per unit produced Total variable costs at the high point Total fixed costs Total cost at the low point Variable costs at the low point Volume at the low point Variable cost per unit produced Total variable costs at the low point Total foxed costs The following information is available for a company's maintenance cost over the last seven months. Month Units Produced June July 100 190 August 110 September 140 October 200 November 230 December 50 Maintenance Cost $ 4,250 5,960 4,440 5,010 6,150 6,720 3,300 Using the high-low method, estimate both the fixed and variable components of its maintenance cost. The following information is available for a company's maintenance cost over the last seven months. Month Units Produced June July 100 190 August 110 September 140 October 200 November 230 December 50 Maintenance Cost $ 4,250 5,960 4,440 5,010 6,150 6,720 3,300 Using the high-low method, estimate both the fixed and variable components of its maintenance cost

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

Accounting In A Business Context Teachers Guide

Authors: A. Berry

1st Edition

0412587505, 978-0412587504

More Books

Students also viewed these Accounting questions