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XYZ Company's accountant is estimating next period's total overhead costs (Y). She performed three regression analyses, the first is based on direct labor hours (DLH).

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XYZ Company's accountant is estimating next period's total overhead costs (Y). She performed three regression analyses, the first is based on direct labor hours (DLH). the second is based on machine hours (hr), and the third is based on quantity produced (Q). The results were: [Y=$150,000 - $10XOLH; R-square = 0.95); [Y= $190,000 + $5xMhr; R-square= 0.11): [Y=200,000+20; R-square=0.52). Based on this Information, which cost driver do you recommend? Select one: a. Direct labor hours (DLH) b. None of them c. Machine hours (hr) d. Quantity produced (Q) e. All cost drivers are the same 6:16 PM Following are utilities costs for different level of machine hours: $225 for 5 hours: $230 for 6 hours ; $235 for 7 hours; and $240 for 8 hours. This cost is best described as Select one: a. Variable b. Fixed c. Mixed d. Direct e. None of the answers given 6:16 PM 28 On the CVP graph, the next unit sold will increase profit by an amount equal to the ut of Select one: O a Variable costs per unit b. Selling price per unit minus the variable costs per unit Oc Contribution margin ratio O d. Difference between contribution margin and food costs O e. Selling price per unit

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