The Unix Company uses the high-low method to determine its cost equation. The following information was gathered for the past year: Machine Hours Direct Labor Costs Busiest month (June) 18,950 Slowest month (December) 11,250 $915,000 $760,000 If Unix expects to use 14,100 machine hours next month, what are the estimated direct labor costs? (Round your answer to nearest Dollar)
The Unix Company uses the high-low method to determine its cost equation. The following information was gathered for the past year: Machine Hours Direct Labor Costs Busiest month (June) 18,950 Slowest month (December) 11,250 $915,000 $760,000 If Unix expects to use 14,100 machine hours next month, what are the estimated direct labor costs? (Round your answer to nearest Dollar)
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter7: Allocating Costs Of Support Departments And Joint Products
Section: Chapter Questions
Problem 1CE: The expected costs for the Maintenance Department of Stazler, Inc., for the coming year include:...
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What are the estimated direct labor costs?

Transcribed Image Text:The Unix Company uses the high-low method to determine its cost
equation. The following information was gathered for the past year:
Machine Hours Direct Labor Costs
Busiest month (June)
18,950
Slowest month (December) 11,250
$915,000
$760,000
If Unix expects to use 14,100 machine hours next month, what are the
estimated direct labor costs? (Round your answer to nearest Dollar)
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