Strait Co. manufactures office furniture. During the most productive month of the year, 3,200 desks were manufactured at a total cost of $83,200. In the month of lowest production the company made 1,120 desks at a cost of $63,600.    Using the high-low method of cost estimation, total fixed costs are  a. $53,056  b. $63,600  c. $83,200  d. $19,600

Q: Ravena Company manufactures office furniture. During the most productive month of the year, 3,500…

A: There are two type of costs that are being incurred in business. These are fixed costs and variable…

Q: Synergy Inc. manufactured 6,000 units during the month of March. They incurred direct materials cost…

A: Definition:   Cost of labor: The cost of labor can be defined as the sum of all wages paid to…

Q: Winslow, Inc., a tennis equipment manufacturer, has variable costs of $0.60 per unit of product. In…

A: Cost are incurred when unit is produced. Hence cost calculation is made based on production, not on…

Q: A business operated at 100% of capacity during its first month, with the following results: Sales…

A: Computation of Operating Income Sales  (96)                         = $480,000 Less- Cost of goods…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A:

Q: . If the company uses absorption costing, compute gross profit assuming (a) 12,800 units are…

A: In absorption costing the fixed overhead costs is allocated  to all units produced for an accounting…

Q: Sully Company provided the following information for last month. Production in units 3,000 Direct…

A: Total sales commission = sales units x commission per unit = 3000*$4 = $12,000

Q: Columbia Products produced and sold 1,400 units of the company’s only product in March. You have…

A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Calculate the amount of production cost for 16,200 units (17,800-1,600 units).

Q: Starwood Company's high and low level of activity last year was 65,000 units of product produced in…

A: Disclaimer: “Since you have asked multiple question, we will solve the first question for you. If…

Q: A manufacturing company that produces a single product has provided the following data concerning…

A: Period cost under absorption costing  = Fixed selling and administrative expense + Variable selling…

Q: Strait Co. manufactures office furniture. During the most productive month of the year, 3,200 desks…

A: The High-low method is a way to find the variable cost per unit fixed cost by comparing the highest…

Q: Strait Co. manufactures office furniture. During the most productive month of the year, 3,300 desks…

A: Variable costs are those which varies with the change in the level of production. It is the cost…

Q: In its first year of operations, a company produced 10,000 units and sold 8,000 units of its…

A: Solution: Under absorption costing, product cost include all manufacturing costs including fixed…

Q: Company XYZ is a manufacturing company. During the month of March the company produced 100 units.…

A: The questions are multiple choice questions Required  Choose the Correct Option.

Q: A business operated at 100% of capacity during its first month, with the following results: Sales…

A: Calculate product cost per unit:

Q: The manufacturing cost of Calico Industries for three months of the year are provided below.…

A: High low method: Variable cost per unit = (Highest activity cost - Lowest activity cost) / (Highest…

Q: Strait Co. manufactures office furniture. During the most productive month of the year, 3,000 desks…

A: High low method: Variable cost per unit = (Highest activity cost - Lowest activity cost) / (Highest…

Q: During the month of January, Robinson & Green Inc. had total manufacturing costs of $121,000. It…

A: The correct answer is $47,300.

Q: The manufacturing costs of Calico Industries for three months of the year are provided below:…

A: The high-low method of costing determines the per unit variable cost by dividing the difference…

Q: Fairground, Inc. is a manufacturer. During its first year of operations, the firm produced 21,600…

A: Fixed overhead cost per unit = Total Fixed overhead / No. of units produced = $32,400 / 21,600 units…

Q: Total and Unit Product Cost Martinez Manufacturing Inc. showed the following costs for last month:…

A: As posted multiple independent questions we are answering only first question kindly repost the…

Q: A business operated at 100% of capacity during its first month, with the following results: Sales…

A: Absorption Costing includes all the cost including Variable and Fixed cost, we should consider all…

Q: In March, the company produced and sold 1,400 dining chairs (the company’s only product). The…

A: Disclaimer: “Since you have posted a question with multiple sub-parts, we will solve the first three…

Q: The manufacturing costs of Callico Industries for three months of the year are provided below: Total…

A: The High-low method is a cost computation technique that separates variable and fixed cost from…

Q: .-Strait Co. manufactures office furniture. During the most productive month of the year, 3,400…

A: A high low method is used to separate the mixed cost into fixed cost and variable cost. In this…

Q: Strait Co. manufactures office furniture. During the most productive month of the year, 3,800 desks…

A: Every organization involved in the production sector incurs various costs, which are mainly divided…

Q: Amex Company, which has woolen scarves to produce, has provided the following data  concerning its…

A: Under absorption costing, gross profit is calculated as difference between sales and cost of goods…

Q: Amex Company, which has woolen scarves to produce, has provided the following data  concerning its…

A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Strait Co. manufactures office furniture. During the most productive month of the year, 3,600 desks…

A: The high low method is used to differentiate the fixed cost and variable cost from the mixed cost.

Q: furniture. During the most productive month of the year, 3,100 desks were manufactured at a total…

A: High cost =82600 High production =3100 low cost =58100 lower production =1160

Q: A business operated at 100% of capacity during its first month, with the following results: Sales…

A: In variable costing statement ,we will value the inventory at variable factory cost . Fixed factory…

Q: Baird Manufacturing Co. expects to make 30,500 chairs during the year 1 accounting period. The…

A: Overhead recovery rate can be computed by dividing the Total overhead cost by the Total number of…

Q: Prior to the first month of operations ending October 31, Marshall Inc. estimated the following…

A: The income statement based on the absorption costing format is as follows:

Q: Using the high-low method of cost estimation, total fixed costs are:

A: Variable cost per unit using high-low method = (Highest activity cost - Lowest activity cost)/…

Q: Jasper Company provided the following information for last year: Costs Amount Sales in units 325,000…

A: Sale revenue means the total sales achieved in the year and income statement shows the revenue and…

Q: A business operated at 100% of capacity during its first month, with the following results: Sales…

A:

Q: A business operated at 100% of capacity during its first month, with the following results: Sales…

A: Absorption costing considers the fixed overhead costs for production as per the units sold and not…

Q: Bernard Company shows the following manufacturing costs for the first six months of the year:…

A: Solution...     Highest point  Production in units = 2,600  Costs = $47,900  Lowest point…

Q: The contribution margin per unit was:

A: Contribution margin per unit = Sales price per unit - Variable cost per unit

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Total units sold=17,100 units-1,600 units=15,500 units

Q: Aces Inc., a manufacturer of tennis rackets, began operations this year. The company produced 6,000…

A: Introduction: Income statement is one of the financial statements prepared by every company for…

Q: A business operated at 100% of capacity during its first month, with the following results: Sales…

A: The corporation expecting to absorb the fixed cost related to the units sold as well to determine…

Q: The manufacturing costs of Calico Industries for three months of the year are provided below: Total…

A: Variable cost per unit = (Highest activity cost - Lowest activity cost) / (Highest activity units -…

Q: arkoff Enterprises, which uses the high-low method to analyze cost behavior, has determined that…

A: Variable cost per machine hour=(Highest activity cost-Lowest activity cost)/(Highest activity hours…

Q: Cornet Products, Inc., summarizes the following data for the first year of operations   Sales (# of…

A: The variable costing includes the variable costs in the product cost and absorption costing includes…

Q: Pena Co. manufactures concert merchandise. During the most productive month of the year, 6,000…

A: Variable cost per unit = (Highest activity cost - Lowest activity cost) / (Highest activity units -…

Q: Strait Co. manufactures office furniture. During the most productive month of the year, 3,200 desks…

A: Lets understand the basics. In high low method, fixed cost and variable cost gets separated from…