Qd.7. COST TYPEHead office-related(in Detroit station)Roadbed, track, andsignaling equipment-relatedStation-relatedTrain-relatedOnboard servicesVOLUMECOST ELEMENTSTripsTotal Passengers(over all trips)Average Ticket PriceAdministrative personnel, marketing costs, $500,000 per monthIT costsDepreciation of track & signalingequipmentInterest paymentsMaintenance workersRepair materialsBuilding costs (temperature control,leasing costs, etc.) and other costs(including cleaning service, ticket, andbaggage handling personnel)Leasing costs - slow-speed trainLeasing costs-high-speed trainHauling costs (power and fuel)Table 2Ann Arbor Railroad - Projected Business for March 20X0Engineers and onboard service staff totalGourmet services contractSlow-Speed20075,000$50AMOUNT300$1,000,000 per month$180$500,000 per month$5,000 per month$200 per slow-speed trip$400 per high-speed tripDetroit: $20,000 per monthChicago: $32,000 per monthAll other stations combined:$7,000 per month$100,000 per month per train$500,000 per month per trainHigh-Speed$5,000 per slow-speed trip$8,000 per high-speed trip$150,000 per month$700,000 per month$8 per passenger100,000 Question 1 - Total projected cost for March 20X0.CostsHead Office CostsRoadbed CostsStation CostsTrains CostsTotal Roadbed Related CostsTotal Station Related CostsTotal Trains Related CostsGourmet Services CostsVariableFixedTotal Projected Cost for March$ Total

Name: Qd.7. COST TYPEHead office-related(in Detroit station)Roadbed, track,
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Description: Qd.7. COST TYPEHead office-related(in Detroit station)Roadbed, track, andsignaling equipment-relatedStation-relatedTrain-relatedOnboard servicesVOLUMECOST ELEMENTSTripsTotal Passengers(over all trips)Average Ticket PriceAdministrative personnel, mark

A cost Statement is a statement showing the output of a particular period with a break-up of costs…

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COST TYPE Head office-related. (in Detroit station) Roadbed, track, and signaling equipment-related Station-related Train-related Onboard services VOLUME COST ELEMENTS Trips Total Passengers (over all trips) Average Ticket Price Administrative personnel, marketing costs, $500,000 per month IT costs Depreciation of track & signaling equipment Interest payments Maintenance workers Repair materials. Building costs (temperature control, leasing costs, etc.) and other costs (including cleaning service, ticket, and baggage handling personnel) Leasing costs-slow-speed train Leasing costs-high-speed train Hauling costs (power and fuel) Engineers and onboard service staff total Table 2 Ann Arbor Railroad - Projected Business for March 20X0 Gourmet services contract. Slow-Speed 200 75,000 $50 AMOUNT 300 $1,000,000 per month $180 $500,000 per month $5,000 per month $200 per slow-speed trip $400 per high-speed trip Detroit: $20,000 per month Chicago: $32,000 per month All other stations combined: $7,000 per month $100,000 per month per train $500,000 per month per train High-Speed $5,000 per slow-speed trip $8,000 per high-speed trip $150,000 per month $700,000 per month $8 per passenger 100,000

COST TYPE Head office-related. (in Detroit station) Roadbed, track, and signaling equipment-related Station-related Train-related Onboard services VOLUME COST ELEMENTS Trips Total Passengers (over all trips) Average Ticket Price Administrative personnel, marketing costs, $500,000 per month IT costs Depreciation of track & signaling equipment Interest payments Maintenance workers Repair materials. Building costs (temperature control, leasing costs, etc.) and other costs (including cleaning service, ticket, and baggage handling personnel) Leasing costs-slow-speed train Leasing costs-high-speed train Hauling costs (power and fuel) Engineers and onboard service staff total Table 2 Ann Arbor Railroad - Projected Business for March 20X0 Gourmet services contract. Slow-Speed 200 75,000 $50 AMOUNT 300 $1,000,000 per month $180 $500,000 per month $5,000 per month $200 per slow-speed trip $400 per high-speed trip Detroit: $20,000 per month Chicago: $32,000 per month All other stations combined: $7,000 per month $100,000 per month per train $500,000 per month per train High-Speed $5,000 per slow-speed trip $8,000 per high-speed trip $150,000 per month $700,000 per month $8 per passenger 100,000

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter7: Variable Costing For Management analysis

Section: Chapter Questions

Problem 17E: Variable costing income statement for a service company East Coast Railroad Company transports...

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