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69. Faraz Corporation has provided the following production and total cost data for two levels
of monthly production volume. The company produces a single product.
The best estimate of the total cost to manufacture 5,300 units is closest to:
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70. Anderwald Corporation has provided the following production and average cost data for
two levels of monthly production volume. The company produces a single product.
The best estimate of the total monthly fixed manufacturing cost is:
71. Anaconda Mining Company shipped 9,000 tons of copper concentrate for $450,000 in
March and 11,000 tons for $549,000 in April. Shipping costs for 12,000 tons to be shipped in May
would be expected to be:
72. Average maintenance costs are $1.50 per machine-hour at an activity level of 8,000
machine-hours and $1.20 per machine-hour at an activity level of 13,000 machine-hours.
Assuming that this activity is within the relevant range, total expected maintenance cost for a
budgeted activity level of 10,000 machine-hours would be closest to:
73. The following data pertains to activity and the cost of cleaning and maintenance for two
recent months:
The best estimate of the total month 1 variable cost for cleaning and maintenance is:
74. The following data pertains to activity and costs for two months:
Assuming that these activity levels are within the relevant range, the mixed cost for July was:
75. At an activity level of 9,200 machine-hours in a month, Nooner Corporation's total
variable production engineering cost is $761,300 and its total fixed production engineering cost is
$154,008. What would be the total production engineering cost per unit, both fixed and variable,
at an activity level of 9,300 machine-hours in a month? Assume that this level of activity is within
the relevant range.
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76. Jumpst Corporation uses the cost formula Y = $3,600 + $0.30X for the maintenance cost
in Department B, where X is machine-hours. The August budget is based on 20,000 hours of
planned machine time. Maintenance cost expected to be incurred during August is:
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77. Given the cost formula, Y = $9,000 + $2.50X, total cost for an activity level of 3,000 units
would be:
78. Blore Corporation reports that at an activity level of 7,300 units, its total variable cost is
$511,803 and its total fixed cost is $76,650. What would be the total cost, both fixed and variable,
at an activity level of 7,500 units? Assume that this level of activity is within the relevant range.
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79. Given the cost formula Y = $15,000 + $5X, total cost at an activity level of 8,000 units
would be:
80. At a volume of 10,000 units, Company P incurs $30,000 in factory overhead costs,
including $10,000 in fixed costs. Assuming that this activity is within the relevant range, if volume
increases to 12,000 units, Company P would expect to incur total factory overhead costs of:
81. At an activity level of 4,400 units in a month, Goldbach Corporation's total variable
maintenance and repair cost is $313,632 and its total fixed maintenance and repair cost is
$93,104. What would be the total maintenance and repair cost, both fixed and variable, at an
activity level of 4,600 units in a month? Assume that this level of activity is within the relevant
range.
82. Supply costs at Lattea Corporation's chain of gyms are listed below:
Management believes that supply cost is a mixed cost that depends on client-visits. Using the
high-low method to estimate the variable and fixed components of this cost, those estimates
would be closest to:
83. Electrical costs at one of Vanartsdalen Corporation's factories are listed below:
Management believes that electrical cost is a mixed cost that depends on machine-hours. Using
the high-low method to estimate the variable and fixed components of this cost, these estimates
would be closest to:
84. A soft drink bottler incurred the following plant utility costs: 1,800 units bottled with utility
costs of $5,750, and 1,500 units bottled with utility costs of $5,200. What is the variable cost per
unit bottled (Use the High-low method. Round to the nearest cent.)
85. The following data pertains to activity and maintenance costs for two recent years:
Using the high-low method, the cost formula for maintenance would be:
86. The following data pertains to activity and utility costs for two recent years:
Using the high-low method, the cost formula for utilities is:
87. Maintenance costs at a Tierce Corporation factory are listed below:
Management believes that maintenance cost is a mixed cost that depends on machine-hours.
Using the high-low method to estimate the variable and fixed components of this cost, these
estimates would be closest to:
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