Provide solution this accounting question Alden Co's monthly unit sales and total cost data for its operatingactivities of the past year following. Management wants to use these datato predict future fixed and variable costs.Month Units Sold Total Cost Month Units Sold Total Cost1320,000$160,000 7340,000$220,0002160,000100,0008280,000160,0003280,000220,000980,00064,0004200,000100,000 10160,000140,0005300,000230,00011100,000100,0006200,000 120,00012110,00080,000Required:1. Estimate both the variable costs per unit and the total monthly fixedcosts using the high-low method.2. Use the results from part Ito predict future total costs when salesvolume is (a) 200,000 units and (b) 300,000 units.

Step 1: Define Cost AccountingThe proper determination of cost is the primary objective of cost…

Answered: Alden Co's monthly unit sales and total…

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 3PB

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Alden Co.'s monthly unit sales and total cost data for its operating activities of the past year follow. Management wants to use these data to predict future fixed and variable costs. Month Units Sold Total Cost Month Units Sold Total Cost 123456 1 320,000 $160,000 7 340,000 $220,000 160,000 100,000 8 280,000 160,000 3 280,000 220,000 9 80,000 64,000 200,000 100,000 10 160,000 140,000 300,000 230,000 11 100,000 100,000 6 200,000 120,000 12 110,000 80,000 2. Predict future total costs when sales volume is (a) 200,000 units and (b) 300,000 units. Sales (units) Variable costs Fixed costs Total Predictions 200,000 0 300,000
Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Month Units Sold Total Cost 1 322,000 $ 159,500 2 167,000 103,250 3 267,000 207,600 4 207,000 102,000 5 292,000 203,500 6 192,000 114,000 7 358,000 263,504 8 272,000 153,750 9 75,600 63,000 10 152,000 132,625 = 96,000 96,000 12 102,000 79,650 1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. Note: Do not round intermediate calculations. High-Low method - Calculation of variable cost per unit
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es ! Required information [The following information applies to the questions displayed below.] Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Month Units Sold Total Cost Month Units Sold 1 321,000 $ 158,500 7 359,000 Total Cost $ 270,736 2 166,000 102,250 8 271,000 152,750 3 266,000 206,600 9 75,800 64,000 4 206,000 101,000 10 151,000 131,625 5 291,000 6 191,000 202,500 113,000 11 95,000 95,000 12 101,000 80,650 1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. (Do not round intermediate calculations.) Total cost at the high point Variable costs at the high point: Volume at the high point: Variable cost per unit Total variable costs at the high point Total fixed costs Total cost at the low point Variable costs at the low point: Volume at the low point: Variable cost per unit Total variable costs at the low point Total fixed costs High-Low…
! Required information [The following information applies to the questions displayed below.] Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Units Month Units Sold Total Cost Month Units Sold 1 7 2 8 9 10 11 12 Total 3 4 5 6 319,000 164,000 264,000 204,000 289,000 189,000 $ $156,500 100,250 204,600 (a) 99,000 200,500 111,000 2. Predict future total costs when sales volume is (a) 378,000 units and (b) 418,000 units. Predictions 378,000 0 $ (b) 418,000 361,000 269,000 0 76,200 149,000 93,000 99,000 Total Cost $285,296 150,750 66,000 129,625 93,000 82,650
Units [The following information applies to the questions displayed below.] Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Total Month Units Sold 320,000 160,000 280,000 200,000 300,000 200,000 LN3456 1 2 Total Cost $ 160,000 100,000 220,000 100,000 230,000 120,000 (a) 2. Predict future total costs when sales volume is (a) 220,000 units and (b) 240,000 units. Predictions 220,000 Month 7 8 9 10 11 12 (b) Units Sold 340,000 280,000 80,000 240,000 160,000 100,000 110,000 Total Cost $ 220,000 160,000 64,000 140,000 100,000 80,000
Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Month 1 2 Saw! 3 4 5 6 7 8 9 10 11 12 Units Sold 315,000 160,000 260,000 200,000 Total cost 285,000 185,000 365,000 265,000 77,000 145,000 89,000 95,000 Total Cost: $152,500. 96,250 200,600 95,000 196,500 107,000 314,800 146,750 70,000 125,625 89,000 86,650 2. Predict future total costs when sales volume is (a) 370,000 units and (b) 410,000 units. 370,000 units 410,000 units

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