Miller Landscaping is attempting to estimate costs for future projects. Miller has compiled data anddecided to use the high-low costing method. The low value is $250,000 for 5,000 hours, and the highvalue is $400,000 for 8,000 hours. What is the variable cost per hour?

Miller Landscaping is attempting to estimate costs for future projects. Miller has compiled data anddecided to use the high-low costing method. The low value is $250,000 for 5,000 hours, and the highvalue is $400,000 for 8,000 hours. What is the variable cost per hour?

Name: Miller Landscaping is attempting to estimate costs for future projects
Uploaded: 2024-03-20T06:57:05.000Z
Channel: Bartleby
Description: Miller Landscaping is attempting to estimate costs for future projects. Miller has compiled data anddecided to use the high-low costing method. The low value is $250,000 for 5,000 hours, and the highvalue is $400,000 for 8,000 hours. What is the vari

Marketing

20th Edition

ISBN:9780357033791

Author:Pride, William M

Publisher:Pride, William M

Chapter19: Pricing Concepts

Section: Chapter Questions

Problem 6DRQ

See similar textbooks

Similar questions

As the production planner for Xiangling Hu Products, Inc., you have been given a bill of material for a bracket that is made up of a base, 2 springs, and 4 clamps. The base is assembled from 2 clamps and 1 housing. Each clamp has 1handle and 1 casting. Each housing has 2 bearings and 2 shafts. There is no inventory on hand. Part 3 b) Determine the gross quantities needed of each item if you are to assemble 150 brackets. Base: enter your response here units (enter your response as a whole number). Spring: enter your response here units (enter your response as a whole number). Clamp: enter your response here units (enter your response as a whole number). Housing: enter your response here units (enter your response as a whole number). Handle: enter your response here units (enter your response as a whole number). Casting: enter your response here units (enter your response as a whole number). Bearing: enter…
Buggs-Off Corporation produces and sells a line of mosquito repellants that are sold usually all year round. The product sells at $100 per box. The following cost data has been prepared for its estimated upper and lower limits of activity for the year ended December 31, 2020. Lower Limit Upper Limit Production (# of boxes) 4,000 6,000 Production Costs: Direct Materials $60,000 $90,000 Direct Labour 80,000 120,000 Overhead: Indirect Materials 25,000 37,500 Indirect Labour…
EZ-Windows, Inc. manufacturers replacement windows for the home remodeling business. In January, the company produces 15,000 windows and ended the month with 9,000 windows in inventory. EZ-Windows' management team would like to develop a production schedule for the next three months. A smooth production schedule is obviously desirable because it maintains the current workforce and provides a similar month-to-month operation. However, given the sales forecasts, the productioncapacities, and the storage capabilities as shown in Table 2, the management team does not think a smooth production schedule with the same production quantity each month possible.The company's cost accounting department estimates that increasing production by one window from one month to the next will increase total costs by $1.00 for each unit increase in the production level. In addition, decreasing production by one unit from one month to the next will increase total costs by $0.65 for each unit decrease in the…
Fill out this chart with the following information: (Add actual cost and success measurement, method and example) First, we can make changes like adding more fun training programs in the center and group activities to attract more students. We can show how fun it is in the new wellness center to students and faculty through Instagram and YouTube videos.We can also post these videos in the school chat rooms and group chats. The cost will be only for Instagram posts and we won't do paid ads. The KPI will be the number of students coming to the center and the reach of the program.Second, we can provide points to students for the number of days they come to the center. Based on these points, the students will get many rewards like Gift vouchers, books, headphones, etc. This offer can be spread through the school through posters with the hook written on them: "Get rewards and fitness". These posters can be put down in the canteen, notice boards, parking, and other places.The number of…
What is the 1- long term goals 2- intermediate term goals 3- short term goals for washing cars service
Mary Williams, owner of Williams Products, is evaluating whether to introduce a new product line. After thinking through the production process and the costs of raw materials and new equipment, Williams estimates the variable costs of each unit produced and sold at $8 and the fixed costs per year at $70,000. If the selling price is set at $22 each, how many units must be produced and sold for Williams to break even? Use algebraic approach to get your answer.
The Vera Molding company has two alternatives for meeting a customer requirement for 9,500 units of a specialty molding. If done in-house, fixed cost would be $300,000 with variable cost at $40 per unit. Alternative two is to outsource for a total cost of $80 per unit. What is the break-even quantity? Round your answer to the nearest whole number. units Should the firm make the 9,500 units in-house or outsource? Firm should produce the molding .
The Vera Molding company has two alternatives for meeting a customer requirement for 7,500 units of a specialty molding. If done in-house, fixed cost would be $200,000 with variable cost at $32 per unit. Alternative two is to outsource for a total cost of $78 per unit. What is the break-even quantity? Round your answer to the nearest whole number. _________ units Should the firm make-in-house or outsource? Round your answers to the nearest dollar. Total cost if done in-house: $ ________________ Total cost if outsourced: $ ________________ So, the firm can save $ ____________ by producing in- house. A company has two alternatives for meeting a customer requirement for 8,000 units of a specialty molding. If done in-house, fixed cost would be $345,000 with variable cost at $35 per unit. Alternative two is to outsource for a total cost of $80 per unit. Determine the break-even point. Round your answer to the nearest whole number. ______________ units Determine if they should…
mafTech is a local companv assembles smart devices parts to various manutacturersproducing smartphones and computersLast year it had cost of goods sold of RM88.700 Million, the averageproduction materials and parts are RM1.333 Million, Work in progress atRM7.555 Million, and finished goods at RM5.999 Million. Define theaverage aggregate value, and Analyze the company's inventory turnsand days of supply being held in inventory.
Machine component manufacture is what K&K Co. Ltd. does. The daily production goal is 200 units. Up until two months ago, the company had been successful in meeting this goal. It has been noted that daily production has fluctuated between 150 and 170 units during the past two months. Determine the potential reasons for the output reduction and the actions to be taken to meet the targeted goals.
The following data refer to a single product, the TECHWHIZ, made by the Markdata Computer Company:Sales price = $5,595Direct materials cost (including purchased components) = $899Direct labor cost = $233Facilities costs (for a highly automated plant; mainly includes rent, insurance,taxes, and depreciation) = $2,352,000 per yearRequired1. What is the contribution margin per unit?2. What is the breakeven point, in units and in dollars?3. What is the required level of sales (in units) if the company plans to increase facilities costs by 5% (toimprove product quality and appearance) and has a desired before-tax profit (πB) of $200,000?4. If the company’s income tax rate is 22%, what unit sales are necessary to achieve an after-tax profit (πA)of $150,000?
The Baldwin Company, in its master budget for 2019, predicted total sales of $160,000, variablecosts of $48,000, and fixed costs of $52,000 ($24,000 manufacturing and $28,000 nonmanufacturing). Actual sales revenue for 2019 turned out to be $180,000. Actual costs were as follows: variable, $54,000, and fixed, $50,000. (1) What was the total master (static) budget variance for 2019?(Note that this variance is also referred to as the total operating income variance.) (Round youranswer to the nearest whole dollar.) (2) Was this total variance favorable (F) or unfavorable (U)?