Please solve this general accounting question At Highline Corp., electricity cost starts with a minimumfixed cost, and after that, there is a perfectly variableexpense. Using estimated machine hours:Machine Hours Cost ($)40,00060,000$80,000$110,000What are:a) The estimated variable cost per machine hour?b) The estimated total fixed cost?

Step 1: Definition of Variable Cost and Fixed CostVariable Cost per Machine Hour: The portion of…

Answered: At Highline Corp., electricity cost…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter14: Capital Structure Management In Practice

Section14.A: Breakeven Analysis

Problem 7P

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What is estimated variable cost per machine hour?
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You have calculated, using the high-low method, a variable cost per machine hour of $0.80 for your production power costs. Power costs at 6,000 machine hours are $5,400; at 9,000 machine hours, they are $7,800. What are the total fixed costs that you would use to estimate production power costs for your company at any level within your relevant range? a. $600 b. $6,400 c. $2,400 d. $4,800
Machine maintenance 150,000 EGP, if you know rate of maintenance = EGP 0.15 (Number of labors hours). calculate the variable and fixed cost
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