Need Answer of this Accounting Question From April 1 through October 31, Will County Highway Department hires temporaryemployees to mow and clean the right-of-way along county roads. The County RoadCommissioner has asked you to help her in determining the variable labor cost ofmowing and cleaning a mile of road. The following information is available regardingcurrent-year operations:MonthMiles Mowed and Cleaned Labor CostsApril350$8,000May3007,500June4009,000July2505,500August 3758,500September 2005,000October1004,800Use the information from the high- and low-volume months to develop a cost-estimatingequation for monthly labor costs.

Step 1: Concept of High and Low Volume Method:This type of method is used by the manufacturing units…

Answered: From April 1 through October 31, Will…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 4EA: Hicks Contracting collects and analyzes cost data in order to track the cost of installing decks on...

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Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Will County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Month April May June July August September October Miles Mowed Labor and Cleaned Costs 350 $4,000 300 3,750 400 4,500 250 2,750 375 4,250 200 2,500 100 2,400 Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = $ 1,700 + $ 7 X Plot the data on a scatter diagram. Using the information from representative high- and low volume months, use the high-low method to develop a cost- estimating equation for monthly labor costs. Monthly labor costs $ 0 + $ ox Adjust the equation developed in requirement (b) to…
Scatter Diagrams and High-Low Cost EstimationFrom April 1 through October 31, Will County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Month Miles Mowedand Cleaned LaborCosts April 350 $16,000 May 300 15,000 June 400 18,000 July 250 11,000 August 375 17,000 September 200 10,000 October 100 9,600 a. Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = Answer + Answer X b. Plot the data on a scatter diagram. Using the information from representative high- and low volume months, use the high-low method to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = Answer + Answer X d.…
Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Coles County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Month April May June July August September October Miles Mowed Labor and Cleaned Costs 240 $6,800 305 7,680 325 8,310 275 7,200 220 6,550 200 5,760 75 4,960 Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs. Monthly labor costs $ 0+ $ 0X Plot the data on a scatter diagram. Using the information from representative high- and low volume months, use the high-low method to develop a cost-estimating equation for monthly labor costs. Monthly labor costs $ 0 + $ ox Adjust the equation developed in requirement (b) to incorporate the…
Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Coles County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Month April May June July August September October Miles Mowed Labor and Cleaned Costs 240 $6,800 305 7,680 325 8.310 275 7,200 220 6,550 200 5,760 75 4,960 Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = $ 3,955 ✓ + $ 13.4 ✔ X Plot the data on a scatter diagram. Using the information from representative high- and low volume months, use the high-low method to develop a cost-estimating equation for monthly labor costs. Monthly labor costs - $ 8,310 x S 13.4 x x Adjust the equation developed in…
Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Coles County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you t help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current year operations: Month April May ME July August September October Miles Mowed Labor and Cleaned Costs 350 $9,000 300 8,800 400 10,400 250 8.000 375 10,000 200 7,200 100 6,200 Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs Monthly labor costs 4,8001 Check Plot the data on a scatter diagram. Using the information from representative high and low volume months, use the high-low method to develop a cost-estimating equation for monthly labor costs Monthly labor costs 4.800*•$ 300 X BXX Adjust the equation developed in requirement (b) to…
Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Will County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Miles Mowed Labor Costs 350 $4,000 300 3,750 400 4,500 250 2,750 375 4,250 200 2,500 100 2,400 Month and Cleaned April May June July August September October Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = $ 1700 + $ 7 X Plot the data on scatter diagram. Using the information from representative high- and low volume months, use the high-low method to develop a cost- estimating equation for monthly labor costs. Monthly labor costs = $ $ X Adjust the equation developed in requirement (b) to incorporate the…
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- 20. Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Coles County Highway Department hires temporary employ- ees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Miles Mowed and Cleaned Labor navior, Activity Analysis, anu Costs 240 $6,800 7,680 8,310 7,200 305 Month 325 275 April May. 220 6,550 June 200 5,760 July. August September . October. 75 4,960 REQUIRED Use the information from the high- and low-volume months to develop a cost-estimatine equation for monthly labor costs. b. Plot the data on a scatter diagram. Using the information from representative high- and low- volume months, use the high-low method to develop a cost-estimating equation for monthly а. What factors might have caused the difference in the equations developed for…
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E14-23. Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Coles County Highway Department hires temporary em- ployees to mow and clean the right-of-way along county roads. Assume that the County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations. Month April May. June July. August September October. Miles Mowed Labor and Cleaned Costs 240 $6,800 305 7,680 325 8,310 275 7,200 220 6,550 200 5,760 75 4,960 REQUIRED a. Use the information from the high- and low-volume months to develop a cost-estimating equa- tion for monthly labor costs. b. Plot the data on a scatter diagram. Hint: In Excel, highlight the data to be included in the chart. Open the insert tab and select the Scatter chart in the Charts group. Using the information from representative high- and low-volume months, use the high-low method to develop a cost-…
Jeff Boyer, of Rainking Company, designs and installs austom lawn and garden irrigation systems for homes and businesses throughour the state. Each job is different, requiring diffierene materials and labor for installing the systems. Rainking estimared the following for the year: Number of installations 250 5,000 క,000 S75,000 S65,000 Number of direct labor hours Direct materials cost Direcr labor cost Overhead cost During the year, the following actual amounts were experienced: Number of installacions 245 5,040 S59.350 $75,600 S64,150 Number of direct labor hours Direct materials used Direct labor incurred Overhead incurred Required: 1. Should Rainking use process costing or job-order costing Explain. 2. IF Rainking uses a normal costing system and overhead is applied on the basis of direct labor hours, what is the cost of an installation that takes $3,500 of direct materials and 50 direct labor hours? 3. Explain why Rainking would have difficulty using an actual costing system.
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