the equation of the high low method Given information: Highest cost of purchase is $17,280. Highest quantity purchased is 4,068. Lower cost of purchase value is $10,272. Lower number of quantity purchased is 2,316.

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Answer 1

Question

Chapter 10, Problem 10.27E

1.

To determine

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

2.

To determine

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

3.

To determine

To explain: Regression equation to the equation based method

4.

To determine

To explain: the comparison of the expected cost of the month October , November and December

Given information:

Slope coefficient is $3.67.

Intercept coefficient is $2,135.5.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

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Answer 2

Question

Chapter 10, Problem 10.27E

1.

To determine

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

2.

To determine

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

3.

To determine

To explain: Regression equation to the equation based method

4.

To determine

To explain: the comparison of the expected cost of the month October , November and December

Given information:

Slope coefficient is $3.67.

Intercept coefficient is $2,135.5.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 10, Problem 10.27E

1.

To determine

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

2.

To determine

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

3.

To determine

To explain: Regression equation to the equation based method

4.

To determine

To explain: the comparison of the expected cost of the month October , November and December

Given information:

Slope coefficient is $3.67.

Intercept coefficient is $2,135.5.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 10, Problem 10.27E

1.

To determine

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

2.

To determine

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

3.

To determine

To explain: Regression equation to the equation based method

4.

To determine

To explain: the comparison of the expected cost of the month October , November and December

Given information:

Slope coefficient is $3.67.

Intercept coefficient is $2,135.5.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 5

Chapter 10, Problem 10.27E

1.

To determine

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

2.

To determine

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

3.

To determine

To explain: Regression equation to the equation based method

4.

To determine

To explain: the comparison of the expected cost of the month October , November and December

Given information:

Slope coefficient is $3.67.

Intercept coefficient is $2,135.5.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Answer 6

Chapter 10, Problem 10.27E

1.

To determine

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

Answer 7

Chapter 10, Problem 10.27E

1.

To determine

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

Answer 8

2.

To determine

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Answer 9

2.

To determine

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Answer 10

3.

To determine

To explain: Regression equation to the equation based method

Answer 11

3.

To determine

To explain: Regression equation to the equation based method

Answer 12

4.

To determine

To explain: the comparison of the expected cost of the month October , November and December

Given information:

Slope coefficient is $3.67.

Intercept coefficient is $2,135.5.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Answer 13

4.

To determine

To explain: the comparison of the expected cost of the month October , November and December

Given information:

Slope coefficient is $3.67.

Intercept coefficient is $2,135.5.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000

Answer 14

Expert Solution & Answer

Answer 15

Expert Solution & Answer

Answer 16

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Answer 17

Ch. 10 - What two assumptions are frequently made when...Ch. 10 - Describe three alternative linear cost functions.Ch. 10 - What is the difference between a linear and a...Ch. 10 - High correlation between two variables means that...Ch. 10 - Name four approaches to estimating a cost...Ch. 10 - Describe the conference method for estimating a...Ch. 10 - Describe the account analysis method for...Ch. 10 - List the six steps in estimating a cost function...Ch. 10 - When using the high-low method, should you base...Ch. 10 - Describe three criteria for evaluating cost...

the equation of the high low method Given information: Highest cost of purchase is $17,280. Highest quantity purchased is 4,068. Lower cost of purchase value is $10,272. Lower number of quantity purchased is 2,316.

the equation of the high low method Given information: Highest cost of purchase is $17,280. Highest quantity purchased is 4,068. Lower cost of purchase value is $10,272. Lower number of quantity purchased is 2,316.

future expected cost of the three months Given information: Slope coefficient is $4 Intercept coefficient is $1,008. Quantity purchased in October is 3,360. Quantity purchased in November is 3,720. Quantity purchased in December is 3,000

To explain: Regression equation to the equation based method

To explain: the comparison of the expected cost of the month October , November and December Given information: Slope coefficient is $3.67. Intercept coefficient is $2,135.5. Quantity purchased in October is 3,360. Quantity purchased in November is 3,720. Quantity purchased in December is 3,000

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Chapter 10 Solutions

the equation of the high low method

Given information:

Highest cost of purchase is $17,280.

Highest quantity purchased is 4,068.

Lower cost of purchase value is $10,272.

Lower number of quantity purchased is 2,316.

future expected cost of the three months

Given information:

Slope coefficient is $4

Intercept coefficient is $1,008.

Quantity purchased in October is 3,360.

Quantity purchased in November is 3,720.

Quantity purchased in December is 3,000