General Accounting question Mountain View Pottery Studio experiences seasonal fluctuationsin their production. During July 2024 (peak season), theyproduced 250 ceramic vases with total production costs of$84,750. In February 2024 (low season), they produced 75 vaseswith total production costs of $31,125. Using the high-lowmethod:a) Calculate the variable cost per vaseb) Determine the total fixed costs for the studio

The high-low method is used to estimate the fixed and variable costs by analyzing the highest and…

Answered: Mountain View Pottery Studio…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 9EA: The cost data for Evencoat Paint for the year 2019 is as follows: Using the high-low method, express...

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The Valdez Mug Company manufactures plastic mugs that sell to wholesalers for P4.00each. Variable and fixed costs are as follows: Valdez Mug produced and sold 10,000 cups during April 2019. There were no beginning or ending inventories.Required:a. Determine Valdez Mug's monthly break-even point in units.b. If monthly sales increase by 500 cups, what will be the change in monthly profits?c. If Valdez Mug is now subject to an income tax of 40 percent, what dollar sales volume is required to earn a monthly after-tax net income of P12,000?
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