The controller of Cullumber Production has collected the following monthly cost data for analyzing the behavior of electricity costs. January February March April May June July August September October November December (a) Total Total Electricity Costs Machine Hours 210 340 $2,480 2,900 Total fixed costs 3.520 4,780 3,220 5,000 4.090 3,810 5.110 4,270 3,320 5,840 500 Variable cost per machine hour $ 685 420 750 650 510 675 600 340 Determine the fixed costs and unit variable costs using the high-low method. 770

The controller of Cullumber Production has collected the following monthly cost data for analyzing the behavior of electricity costs. January February March April May June July August September October November December (a) Total Total Electricity Costs Machine Hours 210 340 $2,480 2,900 Total fixed costs 3.520 4,780 3,220 5,000 4.090 3,810 5.110 4,270 3,320 5,840 500 Variable cost per machine hour $ 685 420 750 650 510 675 600 340 Determine the fixed costs and unit variable costs using the high-low method. 770

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Using the high-low method, how much is the electricity costs if the actual machine hours used is 4,200?
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Please solve c and d
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