The controller of Hall Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Month Total Maintenance Costs Total Machine Hours January $2,640 3,500 February 3,000 March 3,600 April 4,500 May 3,200 June 4,000 6,000 7,900 5,000 8,000 4,620 Determine the variable-cost components using the high-low method. (Round variable cost to 2 decimal places e.g. 12.25.) Determine the fixed cost components using the high-low method. (Round answer to 0 decimal places e.g. 2,520.)

The controller of Hall Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Month Total Maintenance Costs Total Machine Hours January $2,640 3,500 February 3,000 March 3,600 April 4,500 May 3,200 June 4,000 6,000 7,900 5,000 8,000 4,620 Determine the variable-cost components using the high-low method. (Round variable cost to 2 decimal places e.g. 12.25.) Determine the fixed cost components using the high-low method. (Round answer to 0 decimal places e.g. 2,520.)

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 4CE: Larsen, Inc., produces two types of electronic parts and has provided the following data: There are...

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