18. The following information is available for electricity costs for the last six months of theyear:MonthVolumeCostsJuly2,8004.400August5,60010,800September6,40011,400October3.5007,800November2,4004,800December4,2008,100Using high-low method, What is the prediction equation?OY= 100 +3.02 XOY = 200 + 2.83 XOY= 420 + 1.65 Xnone of thc above

High low method is a method of cost estimation in which variable cost per unit and total fixed costs…

Answered: 18. The following information is…

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

E15.24) Economic order quantity For each of the following independent cases, use the EOQ equation to calculate the economic order quantity: Case A Case B Case C Annual requirement (in units) 13230 1681 560 Incremental cost per order $250 $40 $10 Annual carrying cost per unit $6 $20
Computing Average Unit Costs The total monthly operating costs of Chili To Go are:$12,000 + $0.50X where X = servings of chili Determine the average cost per serving at each of the following monthly volumes: 100; 1,000; 5,000; and 10,000. Round answers to one decimal place. Volume Average Unit Cost 100 1,000 5,000 10,000 Determine the monthly volume at which the average cost per serving is $0.70.
PROVIDE Answer with calculation
Deep South Glass Company is exploring different prediction models that can be used to forecast machine maintenance costs. One independent variable under consideration is machine hours. Following are matching observations on machine maintenance costs and machine hours for the past six months: Month Machine hours Machine Maintenance costs 1 300 $20,000 400 $24,000 3 240 $17,000 4 370 $22,000 5 200 $13,000 6 225 $14,000 In a high-low model, which months' observations would be used to compute the model's parameters? 4 and 5 1 and 6 2 and 6 O 2 and 5
The following data pertain to activity and utilities costs for two recent years: Activity Level in Units Utilities Cost Multiple Choice 5075 per unit $1.50 per unit Using the high-low method, what is the variable cost per unit for utilities? $125 per unit Year 2 $133 per unit 12,000 $15,000 Year 1 8,000 $12,000
The following data pertains to activity and utility costs for two recent years: Year 2 Year 1 Activity level in units 10,000 6,000 Utilities cost observed $12,000 $9,000 Using the high-low method, the cost formula for utilities is: a.1.50 per unit. b. 1.20 per unit. C. $3,000 plus $3.00 per unit d. $4,500 plus $0.75 per unit
If annual demand is 24,000 units, orders are placed every 0.5 months, and the cost to place an order is $50, what is the annual ordering cost? a) 50. b) 600. c) 1200. d) 2400. e) Can not be determined.

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS