Felinas Inc. produces floor mats for cars and trucks. The owner, Kenneth Felinas, asked you to assist him in estimating his maintenance costs. Together, Mr. Felinas and you determined that the single best cost driver for maintenance costs was machine hours. Below are data from the previous fiscal year for maintenance expense and machìne hours: Maintenance Machine Expense $3,240 Month Hours 2,260 2 3,430 2,360 3,610 2,460 2,490 2,340 2,510 4 3,740 3,740 3,920 3,730 3,540 6 2,480 2,450 2,270 2,140 9. 3,260 10 2,940 11 2,840 1,750 12 3,000 2,130 Using the high-low method, total monthly fxed cost is calculated to be: (Round your variable cost per unit to two decimal places.)
Felinas Inc. produces floor mats for cars and trucks. The owner, Kenneth Felinas, asked you to assist him in estimating his maintenance costs. Together, Mr. Felinas and you determined that the single best cost driver for maintenance costs was machine hours. Below are data from the previous fiscal year for maintenance expense and machìne hours: Maintenance Machine Expense $3,240 Month Hours 2,260 2 3,430 2,360 3,610 2,460 2,490 2,340 2,510 4 3,740 3,740 3,920 3,730 3,540 6 2,480 2,450 2,270 2,140 9. 3,260 10 2,940 11 2,840 1,750 12 3,000 2,130 Using the high-low method, total monthly fxed cost is calculated to be: (Round your variable cost per unit to two decimal places.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Felinas Inc. produces floor mats for cars and trucks. The owner, Kenneth Felinas, asked you to assist him in estimating his maintenance costs. Together,
Mr. Felinas and you determined that the single best cost driver for maintenance costs was machine hours. Below are data from the previous fiscal year
for maintenance expense and machine hours:
Maintenance Machine
Month
Expense
Hours
1.
$ 3,240
2,260
3,430
2,360
3,610
3,740
3,740
3,920
2,460
2,490
2,340
2,510
4.
7.
3,730
2,480
2,450
3,540
3,260
2,270
2,140
1,750
9
10
2,940
11
2, ৪40
3,000
12
2,130
Using the high-low method, total monthly fixed cost is calculated to be: (Round your variable cost per unit to two decimal places.)
Transcribed Image Text:$384,
$353.
$108.
$156.
$204.
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