The manufacturing costs of Kellam Industries for the first three months of the year follow: Total Costs Units Produced January $2,400,000 10,000 units February 2,950,000 42,000 March 3,200,000 50,000 Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. a. Variable cost per unit $fill in the blank 1 b. Total fixed cost $fill in the blank 2
The manufacturing costs of Kellam Industries for the first three months of the year follow: Total Costs Units Produced January $2,400,000 10,000 units February 2,950,000 42,000 March 3,200,000 50,000 Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. a. Variable cost per unit $fill in the blank 1 b. Total fixed cost $fill in the blank 2
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The
| Total Costs | Units Produced | |||
| January | $2,400,000 | 10,000 | units | |
| February | 2,950,000 | 42,000 | ||
| March | 3,200,000 | 50,000 |
Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost.
| a. Variable cost per unit | $fill in the blank 1 |
| b. Total fixed cost | $fill in the blank 2 |
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