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What is the average cost per mile of driving an average car? question should be answered based on the below data. Cost Determination/ Unit Cost
What is the average cost per mile of driving an average car? question should be answered based on the below data.
Cost Determination/ Unit Cost Determination Much of managerial accounting concerns cost behavior, cost determination and unit cost determination. Unit costs generally involve a collection process and an averaging process. Your task is to determine the average cost per mile of an average automobile. Costs you should consider are: depreciation, gas, oil, repairs, maintenance, insurance, etc. You may also wish to consider the taxes you pay for highways, state and local police; the portion of your health insurance devoted to auto accidents, etc. Industry studies are welcome. Costs should be categorized as either fixed or variable and a variable, fixed and total cost per mile should be presented. If you would rather calculate the cost per mile of your car rather than an average car you may do so. Please list all assumptions made Cost Determination/ Unit Cost Determination Much of managerial accounting concerns cost behavior, cost determination and unit cost determination. Unit costs generally involve a collection process and an averaging process. Your task is to determine the average cost per mile of an average automobile. Costs you should consider are: depreciation, gas, oil, repairs, maintenance, insurance, etc. You may also wish to consider the taxes you pay for highways, state and local police; the portion of your health insurance devoted to auto accidents, etc. Industry studies are welcome. Costs should be categorized as either fixed or variable and a variable, fixed and total cost per mile should be presented. If you would rather calculate the cost per mile of your car rather than an average car you may do so. Please list all assumptions made
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