BUSINESS COLLEGE

xercise 11-3 The controller of Norton Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Month Total Maintenance Costs Total Machine Hours January $2,700 300 February 3,000 350 March 3,600 500 April 4,500 690 May 3,200 500 June 5,500 700 Determine the variable cost components using the high-low method. (Round variable cost to 2 decimal places e.g. 12.25.) Variable cost per machine hour $ LINK TO TEXT LINK TO TEXT Determine the fixed cost components using the high-low method. (Round answer to 0 decimal places e.g. 2,520.) Total fixed costs $

Answers

Answer 1
Answer:

Answer:

Variable per hour is $7

total variable costs for 700 hours=$4900

Fixed costs is $600

Explanation:

Under the high-low method,variable cost formula is as stated below

variable cost=highest maintenance cost-lowest maintenance/machine hours at highest maintenance cost-machine hours at the lowest maintenance cost

highest maintenance cost is $5500

lowest maintenance is $2700

machine hours at highest maintenance cost is 700 hours

machine hours at lowest maintenance cost is 300 hours

variable cost=($5500-$2700)/(700-300)

variable cost=$7

Fixed cost=total cost-total variable cost

total variable cost for 700 hours =$7*700=$4,900

Fixed cost=$5,500-$4900

fixed cost=$600

Related Questions

Blakely charges manufacturing overhead to products by using a predetermined application rate, computed on the basis of machine hours. The following data pertain to the current year: Budgeted manufacturing overhead: $480,000 Actual manufacturing overhead: $440,000 Budgeted machine hours: 20,000 Actual machine hours: 16,000 Overhead applied to production totaled:Select one:a. $352,000b. $384,000c. $550,000d. $600,000e. some other amount
Sandlewood Construction Inc. recognizes revenue over time according to percentage of completion for its long-term construction contracts. In 2018, Sandlewood began work on a $10,000,000 construction contract, which was completed in 2019. The accounting records disclosed the following data at the end of 2018: Costs incurred $ 5,400,000 Estimated cost to complete 3,600,000 Progress billings 4,100,000 Cash collections 3,200,000 In addition to accounts receivable, what would appear in the 2018 balance sheet related to the construction accounts?
Cori's Corp. has an equity value of $13,505. Long-term debt is $8,800. Net working capital, other than cash, is $3,620. Fixed assets are $17,980 and current liabilities are $1,870.How much cash does the company have?Cash ________________$ What is the value of the current assets?Current assets ______________$
O’Dell Vegetables purchased a harvesting machine on July 1, 2016, for $984,000. The machine was estimated to have a useful life of 8 years with an estimated salvage value of $140,000. O’Dell uses the straight-line method of depreciation. During 2019, it became apparent that the machine would become uneconomical after December 31, 2023, and that the machine would have no scrap value. What should be the charge for depreciation in 2019 under generally accepted accounting principles?
Jordan has the following assets and liabilities:_______. Two cars $10,000 House $200,000 Mortgage $100,000 Cash $1,000 Car loans $3,000 Checking account balance $2,000 Credit card balance $1,000 What is Jordan’s wealth?a. $107,000b. $213,000c. $109,000d. $111,000

Case Description Tablets have become an ubiquitos part of our lives. The first models were launched in US in the year 2010.
Sales data is available for the first seven years (See below). As part of your analysis on the outlook for this industry:
a) How would you characterize the future for tablets? Are consumers crazy about this technology or are luke warm?
b) Prepare a five year forecast for this industry; has the market reached its peak (please identify the demand peak).

Please use the Bass Model Estimator provided. Use the spreadsheet tab called "Analysis Report"
Please clearly provide market size assumptions and justifications.
Year Annual Sales (Units Sold)
2010 3,000,000
2011 10,000,000
2012 25,000,000
2013 34,000,000
2014 39,000,000
2015 45,000,000
2016 51,000,000

Answers

Answer:

a) According to the published sales statistics, it appears that the initial release of tablets in 2010 was warmly accepted by customers, since sales increased quickly in the years that followed. With only a 13% rise in revenue from 2015 to 2016, the rate of growth has slowed recently. This shows that customer enthusiasm for the technology may be waning.

b) We will utilize the Bass Model Estimator available on the "Analysis Report" page to project sales over the following five years. The "coefficient of innovation" (p) of this model accounts for the number of customers who have embraced the technology as well as the number of potential consumers who have not yet adopted the technology but may be persuaded to do so.

Explanation:

If the average cost of transporting a passenger on the train from Chicago to St. Louis is $75, it would be irrational for the railroad to allow any passenger to ride for less than $75.True/False

Answers

Answer:

given statement is false

Explanation:

given data

average cost of transporting on train = $75

solution

when average cost of transporting as  train then a passenger travel from Chicago to St. Louis its cost is $75

so it mean we can say that the overall price by travel by train to be charged from all the customers should be average cost =  $75

and railroad allow any passenger to ride for less than $75 is false

so given statement is false

Giả sử Công ty TNHH Đông Đô mua 1 bản quyền công nghệsản xuất dứa quả xuất khẩu của Nhật Bản với giá là 500.000USD (tỷ
giá 16.000VNĐ/USD) tính ra bằng 800 triệu VNĐ, thanh toán theo
hình thức thư tín dụng (L/C) thông qua Ngân hàng Ngoại thương Việt
Nam, thuế nhập khẩu 10% và thuế GTGT hàng nhập khẩu 10%. Công
ty đã nộp các khoản thuế trên bằng chuyển khoản. Chi phí đăng ký
pháp lý liên quan đến bản quyền công nghệ trong nước là 16,5 triệu đã
trả bằng tiền mặt (thuế GTGT 10%). Biết rằng doanh nghiệp thực hiện
tính nộp thuế GTGT theo phương pháp khấu trừ.
Yêu cầu : Xác định nguyên giá TSCĐ vô hình vừa mới được mua
(Biết rằng TSCĐ vô hình được đưa vào sử dụng ngay)

Answers

Answer:fjdkndnfnf

Explanation:bfnfnndndnfnfnwd

Identify which of the objectives of business writing is not being met in the following message. I see that there appears to be an absolutely unfamiliar potential client requesting to converse with you in the upcoming afternoon interval. Would you prefer that I reject his request because you are already experiencing an overload of professional work demands?

Answers

Explanation:

There is no clear purposeful in the business writing above.

For it to be a message that effectively communicates the main information that you want to transmit, it is important that the message is written in the most objective and accurate way possible, so that there is no communication noise and so that the message reaches the receiver and the message is understood. central purpose of the message effectively.

According to the Coase theorem, in the presence of externalities a private parties can bargain to reach an efficient outcome.
b government assistance is necessary to reach an efficient outcome.
c the initial distribution of property rights will determine the efficient outcome.
d the assignment of legal rights can prevent externalities.

Answers

Answer:

According to the Coase theorem, in the presence of externalities:

a. private parties can bargain to reach an efficient outcome.

Explanation:

  • In Economics, the Coase Theorem states that if trade in an externality is possible and there are no transaction costs. The bargaining will result into an efficient outcome irrespective of the initial allocation of property rights. This theorem was introduced by the Ronald Coase.
  • The option a is correct as the private parties can bargain to reach an efficient outcome but it is not necessary to get the government assistance to reach an efficient outcome so that's why the option b is not correct.
  • The option c is also incorrect as the initial distribution will not determine the efficient outcome and also the option d is also incorrect as the assignment of legal rights can not prevent externalities.

On January 1, a store had inventory of $48,000. January purchases were $46,000 and January sales were $90,000. On February 1 a fire destroyed most of the inventory. The rate of gross profit was 25% of cost. Merchandise with a selling price of $7,500 remained undamaged after the fire. Compute the amount of the fire loss, assuming the store had no insurance coverage. Label all figures.

Answers

Answer:

the amount of the fire loss is $16,000

Explanation:

The computation of the amount of the fire loss is shown below

January 1 inventory $48,000

Add purchases $46,000

Goods Available $94,000

Less Cost of Goods Sold ($90,000 × 100 ÷ 125) $72,000

Less Cost of undamaged goods ($7,500 × 100 ÷ 125) $6,000

Goods Lost by Fire $16,000

hence, the amount of the fire loss is $16,000
Other Questions
The shapes of firms' cost curves are important because:___________a. they tell us whether a firm is profitable or not.b. they help us determine how much a firm will produce and even how it will produce it.c. cost curves tell us the profitability of the firm.d. they help us understand the market that the firm is in.
On January 8, the end of the first weekly pay period of the year, Regis Company's payroll register showed that its employees earned $21,760 of office salaries and $60,840 of sales salaries. Withholdings from the employees' salaries include FICA Social Security taxes at the rate of 6.20%, FICA Medicare taxes at the rate of 1.45%, $13,560 of federal income taxes, $1,420 of medical insurance deductions, and $940 of union dues. No employee earned more than $7,000 in this first period.Calculate below the amounts for each of these four taxes of Regis Company. Regis’s merit rating reduces its state unemployment tax rate to 3% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.8%. (Round your answers to 2 decimal places.) FICA - Social Security FICA -Medicare FUTA SUTA Prepare the journal entry to record Regis Company's January 8 (employee) payroll expenses and liabilities. (Round your answers to 2 decimal places.) Prepare the journal entry to record Regis’s (employer) payroll taxes resulting from the January 8 payroll. Regis’s merit rating reduces its state unemployment tax rate to 3% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.8%.
Boney Corporation processes sugar beets that it purchases from farmers. Sugar beets are processed in batches. A batch of sugar beets costs $53 to buy from farmers and $18 to crush in the company's plant. Two intermediate products, beet fiber and beet juice, emerge from the crushing process. The beet fiber can be sold as is for $25 or processed further for $18 to make the end product industrial fiber that is sold for $39. The beet juice can be sold as is for $32 or processed further for $28 to make the end product refined sugar that is sold for $79.Which of the intermediate products should be processed further?Garrison 16e Rechecks 2017-09-13, 2017-11-11Multiple Choicebeet fiber should be processed into industrial fiber; beet juice should NOT be processed into refined sugarbeet fiber should be processed into industrial fiber; beet juice should be processed into refined sugarbeet fiber should NOT be processed into industrial fiber; beet juice should be processed into refined sugarbeet fiber should NOT be processed into industrial fiber; beet juice should NOT be processed into refined sugar
Total spending will equal total output A. after inventory adjustments B. only when total leakages are equal to total injections C. by the end of every year D. only when the sum of saving and investment equals the sum of net taxes and government expenditures E. saving is equal to net taxes