Using the high-low method, estimate both the fixed and variable components of its maintenance cost. The following Information is available for a company's malntenance cost over the last seven months.Maintenance Cost24MonthUnits ProducedJune100JulyAugustSeptemberOctoberNovember3,9505,3904,11e4,5905,5506,0303,150190110140200230December50Using the high-low method, estimate both the fixed and varlable components of Its maintenance cost.High-Low method - Calculation of variable cost per maintenance hourTotal cost at the high pointVariable costs at the high point:Volume at the high point:Variable cost per unit producedTotal variable costs at the high pointTotal fixed costsTotal cost at the low pointVariable costs at the low point:Volume at the low point:Variable cost per unit producedTotal variable costs at the low pointTotal fixed costs

A high-low method is used to separate the mixed cost into fixed cost and variable cost. In this…

The following Information is avallable for a company's maintenance cost over the last seven months. Month Units Produced Maintenance Cost June 100 %24 July August September October 3,95e 5,390 4,11e 4,59e 5,55e 6,e30 3,150 190 110 140 200 November 230 December 50 Using the high-low method, estimate both the fixed and variable components of Its maintenance cost. High-Low method - Calculation of variable cost per maintenance hour Total cost at the high point Variable costs at the high point Volume at the high point Variable cost per unit produced Total variable costs at the high point Total fixed costs Total cost at the low point Variable costs at the low point: Volume at the lovw point Variable cost per unit produced Total variable costs at the low point Total fixed costs

The following Information is avallable for a company's maintenance cost over the last seven months. Month Units Produced Maintenance Cost June 100 %24 July August September October 3,95e 5,390 4,11e 4,59e 5,55e 6,e30 3,150 190 110 140 200 November 230 December 50 Using the high-low method, estimate both the fixed and variable components of Its maintenance cost. High-Low method - Calculation of variable cost per maintenance hour Total cost at the high point Variable costs at the high point Volume at the high point Variable cost per unit produced Total variable costs at the high point Total fixed costs Total cost at the low point Variable costs at the low point: Volume at the lovw point Variable cost per unit produced Total variable costs at the low point Total fixed costs

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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