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# The manager at Copley Mulch has been trying to calculate the portion of the company

The manager at Copley Mulch has been trying to calculate the portion of the company

overhead expenses that is fixed and the portion that is variable.  Over the past twelve months, the number of yards of mulch processed was highest in July, when the total monthly overhead costs totaled \$6,000 for 25,000 yards of mulch processed.   The lowest number of yards of mulch processed in the last twelve months occurred in October, when total overhead costs were \$4,000 for 15,000 yards of mulch processed. What is the fixed portion of the monthly overhead expenses?

A) \$5,000

B) \$9,000

C) \$4,000

D) \$1,000

22) To follow is information about the units produced and total manufacturing costs for Snow Enterprises for the past six months.

 Month Number of units produced Total manufacturing costs January 7,940 \$5,900 February 7,500 \$5,460 March 6,400 \$5,000 April 6,600 \$5,500 May 4,740 \$5,100 June 7,800 \$5,840

Using the high-low method, what is the variable cost per unit?

A) \$0.74

B) \$0.25

C) \$1.08

D) \$4.00

23) To follow is information about the units produced and total manufacturing costs for Snow Enterprises for the past six months.

 Month Number of units produced Total manufacturing costs January 7,940 \$5,900 February 7,500 \$5,460 March 6,400 \$5,000 April 6,600 \$5,500 May 4,740 \$5,100 June 7,800 \$5,840

Using the high-low method, what is the monthly fixed manufacturing cost?

A) \$800

B) \$11,000

C) \$3,915

D) \$1,985

24) To follow is information about the units produced and total manufacturing costs for Snow Enterprises for the past six months.

 Month Number of units produced Total manufacturing costs January 7,940 \$5,900 February 7,500 \$5,460 March 6,400 \$5,000 April 6,600 \$5,500 May 4,740 \$5,100 June 7,800 \$5,840

Using the high-low method, what will the total monthly manufacturing costs be if the company produces 7,500 units?

A) \$3,915

B) \$5,790

C) \$1,875

D) \$3,860

25) Maintenance costs at Red Dot Manufacturing over the past six months are listed in the following table.

 Month Maintenance cost Machine hours January \$9,500 15,800 February \$9,860 17,300 March \$8,600 14,500 April \$8,840 16,100 May \$8,600 17,100 June \$8,100 15,500

Using the high low method, what would the variable maintenance cost per machine hour be?

A) \$0.59

B) \$0.57

C) \$2.22

D) \$0.45

26) Maintenance costs at Red Dot Manufacturing over the past six months are listed in the following table.

 Month Maintenance cost Machine hours January \$9,500 15,800 February \$9,860 17,300 March \$8,600 14,500 April \$8,840 16,100 May \$8,600 17,100 June \$8,100 15,500

Using the high low method, what would the monthly fixed maintenance cost be?

A) \$1,260

B) \$2,075

C) \$7,785

D) \$18,460

27) Maintenance costs at Red Dot Manufacturing over the past six months are listed in the following table.

 Month Maintenance cost Machine hours January \$9,500 15,800 February \$9,860 17,300 March \$8,600 14,500 April \$8,840 16,100 May \$8,600 17,100 June \$8,100 15,500

Using the high low method, what would the total maintenance costs be if 18,000 machine hours were used?

A) \$15,660

B) \$7,875

C) \$9,950

D) \$10,175

Dec 12 2019 View more View Less