$9345 is incorrect. The Lakeshore Hotel's occupancy-days and custodial supplies expense over the last seven monthswere as follows:CustodialSuppliesExpense$ 14,43014,18019,42023,95027,45020,71019,450Occupancy-Days6,900MonthMarchAprilMay7,90013,60020,50025,50017,80015,000JuneJulyAugustSeptemberOccupancy-days are a measure of the overall activity at the hotel. For example, when a guest stays atthe hotel for three days, it is counted as three occupancy-days.Required:1. Using least-squares regression (you may use a spreadsheet to compute the fixed and variable costs),estimate a cost formula for custodial supplies expense. (Round the "Fixed cost" to the nearest dollaramount and "Variable cost" to 2 decimal places.)Y =9,345 +$0.71 X2. Using the cost formula you derived above, what amount of custodial supplies expense would youexpect to be incurred at an occupancy level of 12,000 occupancy-days? (Round the "Fixed cost" to thenearest dollar amount.)Variable costFixed costTotal cost8,520$8,520

Least squares regression is the method of determining about how much is the variable cost per unit…

1. Using least-squares regression (you may use a spreadsheet to compute the fixed and variable costs), estimate a cost formula for custodial supplies expense. (Round the "Fixed cost" to the nearest dollar amount and "Variable cost" to 2 decimal places.) Y = 9,345 + $ 0.71 X 2. Using the cost formula you derived above, what amount of custodial supplies expense would you expect to be incurred at an occupancy level of 12,000 occupancy-days? (Round the "Fixed cost" to the nearest dollar amount.)

1. Using least-squares regression (you may use a spreadsheet to compute the fixed and variable costs), estimate a cost formula for custodial supplies expense. (Round the "Fixed cost" to the nearest dollar amount and "Variable cost" to 2 decimal places.) Y = 9,345 + $ 0.71 X 2. Using the cost formula you derived above, what amount of custodial supplies expense would you expect to be incurred at an occupancy level of 12,000 occupancy-days? (Round the "Fixed cost" to the nearest dollar amount.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Ma4. Taxpayers may receive one or more of these forms: W-2, 1098-T, 1099=INT, 1099-DIV, 1099-G, 1099-MISC, 1099-R, SSA-1099. For each of the above forms, explain what each one reports. Do not just list the items on the forms; give a brief explanation for each one.
Estimated losses on uncollectible taxes receivable should be accounted for as an allowance for uncollectible accounts and bad debt expense. a. True b. False
Question 8: Collectively, Social Security tax and Medicare tax are referred to as FICA taxes. Answer: A. O True В. O False
The deductibility of interest on borrowed money is limited to the extent that it was invested to generate an income that is not tax exempt. Question 10 options: True False
Personal expenses are deductions: a. for AGI b. always deductible. c. Deductions from AGI d. non of the above.
Federal income taxes are allowed as an itemized deduction but are limited to $10,000? Ture or false
A friend says to you, “I don’t understand how taxable temporary differences can be ‘liabilities’ and how deductible temporary differences can be ‘assets.’ It seems to me that these temporary differences relate only to the future and that accounting is based on ‘historical cost.’ In addition, the government frequently changes the tax laws, so no one knows what the future tax laws will be.” Required: Prepare a written response for your friend that explains why deferred tax assets and deferred tax liabilities are recognized and reported on a corporation’s balance sheet. Include a discussion of a valuation allowance.
19.Which of the following statements is incorrect? a. Trade receivables are recognized simultaneously with the recognition of related revenue when the criteria for revenue recognition are met. b. Under the gross price method, sales discounts are reported as a deduction from sales revenue. c. When accounts receivable are pledged against borrowing, the amount of accounts receivable pledged shall be included in the total receivables with disclosures. d. When discounting notes, the term discount period refers to the period of time that the note has been held by the endorser or payee; i.e. the period from the date of the note up to the date of discounting.
Hw.39. Insurance payment includes an advance payment of $12,925 for the next year. Is it tax deductible?
The payment of supplier's account is debited to accounts receivable. What is the effect of the error in the net income of the current period and in subsequent period? Cannot be determined based.on the given information Overstated O Understated O No effect
What are the categories of escapes from taxation? Enumerate and give an example on each means of escape under each category. You can also cite actual cases that are available online.
A5 4c c. What is the M&M Proposition II without taxes?