The CW16427 company uses direct labor-hours as its activity measure for overhead cost. Shown below are direct labor-hours and total overhead costs for the first half of the year: Overhead Direct labor-Hours Cost 150,000 140,000 160,000 120,000 170,000 200,000 $339,000 $328,000 $350,000 $296,000 $362,500 $400,000 Jan Feb Mar Apr May Jun Assume that the relevant range includes all of the activity levels for the CW16427 company given in this problem. If CW16427 expects to incur 192,000 direct labor hours next month, what will the estimated total overhead cost be using the high-low method? (Round your intermediate calculations to 2 decimal places.) Multiple Choice $390,800

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The CW16427 company uses direct labor-hours as its activity measure for overhead cost. Shown below are direct labor-hours and
total overhead costs for the first half of the year:
Overhead
Direct labor-Hours
Cost
Jan
150,000
140,000
160,000
120,000
170,000
200,000
$339,000
$328,000
$350,000
$296,000
$362,500
$400,000
Feb
Mar
Apr
May
Jun
Assume that the relevant range includes all of the activity levels for the CW16427 company given in this problem.
If CW16427 expects to incur 192,000 direct labor hours next month, what will the estimated total overhead cost be using the high-low
method? (Round your intermediate calculations to 2 decimal places.)
Multiple Choice
$390,800
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MAR
otv
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Transcribed Image Text:The CW16427 company uses direct labor-hours as its activity measure for overhead cost. Shown below are direct labor-hours and total overhead costs for the first half of the year: Overhead Direct labor-Hours Cost Jan 150,000 140,000 160,000 120,000 170,000 200,000 $339,000 $328,000 $350,000 $296,000 $362,500 $400,000 Feb Mar Apr May Jun Assume that the relevant range includes all of the activity levels for the CW16427 company given in this problem. If CW16427 expects to incur 192,000 direct labor hours next month, what will the estimated total overhead cost be using the high-low method? (Round your intermediate calculations to 2 decimal places.) Multiple Choice $390,800 < Prev 3 of 12 Next > MAR otv 57 17,650 14
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