In Bonita, maintenance costs are mixed costs. At a low level of activity (100 direct labor hours), maintenance costs are $1,200. At the high level of activity (400 direct labor hours), maintenance costs are $2,200. Variable Cost Per Unit Total Fixed Cost $3.33 $3.33 $5.50 $1,000 $868 $275 $5.50 $2,600 Using the high-low method, what are the variable maintenance cost per unit and the total fixed maintenance cost?

In Bonita, maintenance costs are mixed costs. At a low level of activity (100 direct labor hours), maintenance costs are $1,200. At the high level of activity (400 direct labor hours), maintenance costs are $2,200. Variable Cost Per Unit Total Fixed Cost $3.33 $3.33 $5.50 $1,000 $868 $275 $5.50 $2,600 Using the high-low method, what are the variable maintenance cost per unit and the total fixed maintenance cost?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 11MC: Total costs for ABC Distributing are $250,000 when the activity level is 10,000 units. If variable...

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Total costs for ABC Distributing are $250,000 when the activity level is 10,000 units. If variable costs are $5 per unit, what are their fixed costs? $240,000 $200,000 $260,000 Their fixed costs cannot be determined from the information presented.
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