Select the graph that matches the numbered manufacturing cost data. Indicate by letter which graph best fits the situation or item described.W (Click to view the graphs.)The vertical axes of the graphs represent total cost, and the horizontal axes represent units produced during a calendar year. In each case, the zero point of dollars and production is at the intersection of the two axes. The graphs may be usedmore than once.1. Annual depreciation of equipment, where the amount of depreciation charged is computed by theGraph/chartmachine-hours method.2. Electricity bill - a flat fixed charge, plus a variable cost after a certain number of kilowatt-hours are used,in which the quantity of kilowatt-hours used varies proportionately with quantity of units produced.3. City water bill, which is computed as follows:First 1,000,000 gallons or less$1,000 flat feeNext 10,000 gallons$0.003 per gallon usedBNext 10,000 gallons$0.006 per gallon usedNext 10,000 gallons$0.009 per gallon usedand so onand so onEThe gallons of water used vary proportionately with the quantity of production output.4. Cost of direct materials, where direct material cost per unit decreases with each pound of material used (forexample, if 1 pound is used, the cost is $10; if 2 pounds are used, the cost is $19.98; if 3 pounds are usedthe cost is $29.94), with a minimum cost per unit of $9.20.IK

The graph that coordinates with the numbered producing cost information which fits best for the…

Answered: Select the graph that matches the…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 40P

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