Royal Enterprises has collected the following cost data for various levels of activity: Month June July August Required: a. Using the high-low method, calculate the variable cost per unit and the total fixed cost per month. Note: Round variable cost to 2 decimal places. b. What would the total cost be for a month with 5,350 units produced? Note: Do not round your intermediate calculations. a. Fixed Cost a. Variable Cost b. Total Costs Units Total Cost per Unit 3,450 5,850 7,050 $ 12.10 8.10 7.30 per month per unit

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Royal Enterprises has collected the following cost data for various levels of activity:
Month
June
July
August
Required:
a. Using the high-low method, calculate the variable cost per unit and the total fixed cost per month.
Note: Round variable cost to 2 decimal places.
b. What would the total cost be for a month with 5,350 units
duced?
Note: Do not round your intermediate calculations.
a. Fixed Cost
a. Variable Cost
b. Total Costs
Units
Total Cost
per Unit
3,450
5,850
7,050
$ 12.10
8.10
7.30
per month
per unit
Transcribed Image Text:8 ok Royal Enterprises has collected the following cost data for various levels of activity: Month June July August Required: a. Using the high-low method, calculate the variable cost per unit and the total fixed cost per month. Note: Round variable cost to 2 decimal places. b. What would the total cost be for a month with 5,350 units duced? Note: Do not round your intermediate calculations. a. Fixed Cost a. Variable Cost b. Total Costs Units Total Cost per Unit 3,450 5,850 7,050 $ 12.10 8.10 7.30 per month per unit
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