HW1-Week 3- Cost behaviorQ1. Napture Rentals operates a boat rental service. Consider the following costs of the company overthe relevant range of 5,000 to 8,000 hours of operating time for its boats. All amounts are in the USDollar.Total costsVariable costsFixed costsTotal costsCost per hourVariable costFixed costsTotal cost per hourHours of operating Time5,000$20,000168,000188,000???6,000??????7,000??????8,000??????Compute the missing amounts, assuming that cost behavior patterns remain unchanged within therelevant range of 5,000 to 8,000 hours.Q2. Nooksack Expeditions must pay a license fee of $25,000 per year plus $3 per rafting party to the state'sDepartment of Natural Resources.a. Draw the mixed cost behavior graph.b. Write the total mixed cost equation.

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Description: HW1-Week 3- Cost behaviorQ1. Napture Rentals operates a boat rental service. Consider the following costs of the company overthe relevant range of 5,000 to 8,000 hours of operating time for its boats. All amounts are in the USDollar.Total costsVaria

Fixed cost refers to those expenses which are indirectly linked to the production of a product and…

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Napture Rentals operates a boat rental service. Consider the following costs of the company elevant range of 5,000 to 8,000 hours of operating time for its boats. All amounts are in the r. Total costs Variable costs Fixed costs Hours of operating Time 5,000 6,000 $20,000 168,000 ? ? 7,000 ? ? 8,000 ? ?

Napture Rentals operates a boat rental service. Consider the following costs of the company elevant range of 5,000 to 8,000 hours of operating time for its boats. All amounts are in the r. Total costs Variable costs Fixed costs Hours of operating Time 5,000 6,000 $20,000 168,000 ? ? 7,000 ? ? 8,000 ? ?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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