Vishnu Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variableand fixed costs.MonthUnits Sold1318,0002163,0003263,000Total Cost$ 155,50099,250203,6004203,00098,0005288,000199,5006188,000110,0007362,000292,6248268,000149,750976,40067,00010148,000128,6251192,00092,0001298,00083,6501. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method.Note: Do not round intermediate calculations.Total cost at the highest volumeVariable costs at highest volume:Highest volumeVariable cost per unitTotal variable costs at highest volumeTotal fixed costsTotal cost at the lowest volumeVariable costs at lowest volume:Lowest volumeVariable cost per unitTotal variable costs at lowest volumeTotal fixed costsHigh-Low method - Calculation of variable cost per unitHigh-Low method - Calculation of fixed costs

Variable cost refers to those expenses that vary with the change in the level of output of a…

Answered: Alden Company's monthly data for the…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter11: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 11.16E

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[The following information applies to the questions displayed below.] Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Month Units Sold 1 2 3 4 5 6 320,000 160,000 280,000 200,000 300,000 200,000 Total Cost $ 160,000 100,000 220,000 100,000 230,000 120,000 Total cost at the high point Variable costs at the high point: Volume at the high point: Variable cost per unit 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 low point: Variable cost per unit Total variable costs at the low point Total fixed costs Month 7 8 9 10 11 12 Units Sold 340,000 280,000 80,000 160,000 100,000 110,000 1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. (Do not round intermediate calculations.) Total Cost $ 220,000 160,000 64,000 140,000 100,000 80,000 High-Low method - Calculation of…
Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Month Units Sold 1 2 3 4 5 6 320,000 160,000 280,000 200,000 300,000 200,000 Total Cost Month $ 160,000 7 8 9 100,000 220,000 100,000 230,000 120,000 10 11 12 Change in cost Change in volume Total cost at the high point Variable costs at the high point: Volume at the high point: Variable cost per unit Total variable costs at the high point Total fixed costs Units Sold 340,000 280,000 80,000 160,000 100,000 110,000 1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. (Do not round intermediate calculations.) Total cost at the low point Variable costs at the low point: Volume at the low point: Variable cost per unit Total variable costs at the low point Total fixed costs Total Cost $ 220,000 160,000 64,000 140,000 100,000 80,000 High-Low method - Calculation of variable cost per unit Cost at high point…
es ! Required information [The following information applies to the questions displayed below.] Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Month Units Sold Total Cost Month Units Sold 1 321,000 $ 158,500 7 359,000 Total Cost $ 270,736 2 166,000 102,250 8 271,000 152,750 3 266,000 206,600 9 75,800 64,000 4 206,000 101,000 10 151,000 131,625 5 291,000 6 191,000 202,500 113,000 11 95,000 95,000 12 101,000 80,650 1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. (Do not round intermediate calculations.) Total cost at the high point Variable costs at the high point: Volume at the high point: Variable cost per unit 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 low point: Variable cost per unit Total variable costs at the low point Total fixed costs High-Low…
! Required information [The following information applies to the questions displayed below.] Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Units Month Units Sold Total Cost Month Units Sold 1 7 2 8 9 10 11 12 Total 3 4 5 6 319,000 164,000 264,000 204,000 289,000 189,000 $ $156,500 100,250 204,600 (a) 99,000 200,500 111,000 2. Predict future total costs when sales volume is (a) 378,000 units and (b) 418,000 units. Predictions 378,000 0 $ (b) 418,000 361,000 269,000 0 76,200 149,000 93,000 99,000 Total Cost $285,296 150,750 66,000 129,625 93,000 82,650
Units [The following information applies to the questions displayed below.] Alden Company's monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Total Month Units Sold 320,000 160,000 280,000 200,000 300,000 200,000 LN3456 1 2 Total Cost $ 160,000 100,000 220,000 100,000 230,000 120,000 (a) 2. Predict future total costs when sales volume is (a) 220,000 units and (b) 240,000 units. Predictions 220,000 Month 7 8 9 10 11 12 (b) Units Sold 340,000 280,000 80,000 240,000 160,000 100,000 110,000 Total Cost $ 220,000 160,000 64,000 140,000 100,000 80,000
1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. Alden Company’s monthly data for the past year follow. Management wants to use these data to predict future variable and fixed costs. Month Units Sold Total Cost 1 319,000 $ 156,500 2 164,000 100,250 3 264,000 204,600 4 204,000 99,000 5 289,000 200,500 6 189,000 111,000 7 361,000 285,296 8 269,000 150,750 9 76,200 66,000 10 149,000 129,625 11 93,000 93,000 12 99,000 82,650
Sohar Company’s financial information is given in the table below. Year Sales (OMR) Fixed Costs Variable Costs 2019 405000 90000 225000 2020 450000 120000 240000 Calculate: P/V ratio, E.P. Sales required to earn a profit of OMR 40000. Margin of safety at a profit of OMR 50000 Profit when sales are OMR. 200000.
A company has following details for this yearDetails Total sales($) Total cost($) Details Total sales($) Total cost($)Year ended 31/12/2018 35,78,998 25,89,709Year ended 31/12/2019 48,90,742 31,67,984 Calculate P/V ratio, Fixed cost, break even sales, Margin of safety 2018/2019, Variable cost 2018/2019and percent of fixed cost 2018/2019
Brislin Products has a new product going on the market next year. The following data are projections for production and sales: \table[[Variable costs,$250,000
ABM Enterprise reported business transactions for a certain month in 2020: Unit Price, P55.75; Variable Cost Per Unit, P25.50, and Total Fixed Cost, P45,375.00. a. Compute for the number of units to be sold in order to break-even. b. How is the amount of sales to break-even?
Using the data from 2022 in Gaming Table Cost Data, create an Excel spreadsheet to provide a sensitivity analysis of the effect on operating profit of potential changes in demand for HFI Incorporated, ranging from a 20 percent decrease to a 20 percent increase. Use Contribution Income Statements and What-If Sensitivity Analysis as a guide. Assume that two-thirds of fixed costs are manufacturing related; the remaining one-third are selling-related. The variable manufacturing cost per unit is $30, while the variable selling cost per unit is $5. (Hint: Calculate the DOL for 2022 at a sales volume of 3,000 units.) (Input your answer as a percentage rounded to 2 decimal places (i.e., 0.1567 = 15.67%).) DOL (Degree of operating leverage) ___% Using the spreadsheet you created, compute the new operating profit assuming a 10% decrease in demand. Operating Profit $____
The cost data for BC Billing Solutions for the year 2020 is as follows: Using the high-low method, express the companys overtime wages as an equation where x represents number of invoices processed. Assume BC has monthly fixed costs of $3,800. Predict the overtime wages if 9,000 invoices are processed. Predict the overtime wages if 6,500 invoices are processed. Using Excel, create a scatter graph of the cost data and explain the relationship between the number of invoices processed and overtime wage expense.

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