Neptune Rentals operates a boat rental service. Consider the following costs of the company over the rel- evant range of 5,000 to 8,000 hours of operating time for its boats: Total costs: Variable costs. Fixed costs. ..... ... Total costs... Cost per hour: Variable cost. Fixed cost.. Total cost per hour ... 5,000 $ Hours of Operating Time 6,000 7,000 $ 20,000 168,000 $188,000 $ $ ? $ ? ? $ ? ? $ 60 $ ? ? ? $ 69 8,000 $ ? $ ? ? $ ? ? ? ? ? Required: Compute the missing amounts, assuming that cost behavior patterns remain unchanged within the relevant range of 5,000 to 8,000 hours.
Neptune Rentals operates a boat rental service. Consider the following costs of the company over the rel- evant range of 5,000 to 8,000 hours of operating time for its boats: Total costs: Variable costs. Fixed costs. ..... ... Total costs... Cost per hour: Variable cost. Fixed cost.. Total cost per hour ... 5,000 $ Hours of Operating Time 6,000 7,000 $ 20,000 168,000 $188,000 $ $ ? $ ? ? $ ? ? $ 60 $ ? ? ? $ 69 8,000 $ ? $ ? ? $ ? ? ? ? ? Required: Compute the missing amounts, assuming that cost behavior patterns remain unchanged within the relevant range of 5,000 to 8,000 hours.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Neptune Rentals operates a boat rental service. Consider the following costs of the company over the rel-
evant range of 5,000 to 8,000 hours of operating time for its boats:
Total costs:
Variable costs
Fixed costs.
Total costs
Cost per hour:
Variable cost.
Fixed cost.
Total cost per hour
....
5,000
$
Hours of Operating Time
6,000
$ 20,000 $
168,000
$188,000
?
?
?
GA
$
69||
? $
?
LA
?
?
? $
7,000
?
15155
?
C
? $
?
?
$
69
8,000
Gall
$
~ 2.
?
?
Required:
Compute the missing amounts, assuming that cost behavior patterns remain unchanged within the relevant
range of 5,000 to 8,000 hours.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe1113dc9-23f9-48bf-a51a-f35bbfbaf8fb%2Fd0e684a8-6e59-4b2a-909e-62d0f1f314dc%2Fw0tjsnv_processed.gif&w=3840&q=75)
Transcribed Image Text:Neptune Rentals operates a boat rental service. Consider the following costs of the company over the rel-
evant range of 5,000 to 8,000 hours of operating time for its boats:
Total costs:
Variable costs
Fixed costs.
Total costs
Cost per hour:
Variable cost.
Fixed cost.
Total cost per hour
....
5,000
$
Hours of Operating Time
6,000
$ 20,000 $
168,000
$188,000
?
?
?
GA
$
69||
? $
?
LA
?
?
? $
7,000
?
15155
?
C
? $
?
?
$
69
8,000
Gall
$
~ 2.
?
?
Required:
Compute the missing amounts, assuming that cost behavior patterns remain unchanged within the relevant
range of 5,000 to 8,000 hours.
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