The controller of Hall Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Total Maintenance Costs Total Machine Hours Month January $2,640 February 3,000 March 3,600 April 4,500 May 3,200 June 4,620 3,500 4,000 6,000 7,900 5,000 8,000 A- Determine the fixed and variable cost components using the high low method.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The controller of Hall Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs.
Total
Maintenance Costs
Total
Machine Hours
Month
January
$2,640
February 3,000
March
3,600
April
May
June
4,500
3,200
3,500
4,000
6,000
7,900
5,000
4,620
A-Determine the fixed and variable cost components using the high low method.
B. Prepare a graph showing the behavior of maintenance costs and identify the fixed and varaible cost elements. Use 2000-hour increments and $100 cost increments.
More info you show me the better please.
8,000
Transcribed Image Text:The controller of Hall Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Total Maintenance Costs Total Machine Hours Month January $2,640 February 3,000 March 3,600 April May June 4,500 3,200 3,500 4,000 6,000 7,900 5,000 4,620 A-Determine the fixed and variable cost components using the high low method. B. Prepare a graph showing the behavior of maintenance costs and identify the fixed and varaible cost elements. Use 2000-hour increments and $100 cost increments. More info you show me the better please. 8,000
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