Question 1: The following information relating to production and mixed costs are extracted from the book of amanufacturing fırm:MonthsProduction (Units)Mixed costsJanuary6,800$31,580February6,400$30,420March7,200$32,740April8,000$35,060May6,600$31,000June7,000$32,160Requirements:1. Using high and low method, estimate the variable cost per unit and the fixed costs elements from theabove information2. Express the variable and fixed costs in the form Y=a+bx

The high low method is used to separate fixed and variable costs from mixed costs.

Question 1: The following information relating to production and mixed costs are extracted from the book of a manufacturing fırm: Months Production (Units) Mixed costs January 6,800 $31,580 February 6,400 $30,420 March 7,200 $32,740 April 8,000 $35,060 Мay 6,600 $31,000 June 7,000 $32,160 Requirements: 1. Using high and low method, estimate the variable cost per unit and the fixed costs elements from the above information 2. Express the variable and fixed costs in the form Y=a+bx

Question 1: The following information relating to production and mixed costs are extracted from the book of a manufacturing fırm: Months Production (Units) Mixed costs January 6,800 $31,580 February 6,400 $30,420 March 7,200 $32,740 April 8,000 $35,060 Мay 6,600 $31,000 June 7,000 $32,160 Requirements: 1. Using high and low method, estimate the variable cost per unit and the fixed costs elements from the above information 2. Express the variable and fixed costs in the form Y=a+bx

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 1PB: The following product costs are available for Stellis Company on the production of erasers: direct...

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