The table below shows monthly data collected on production costs and on the number of units produced over a twelve month period. Month Total Production Costs $230,000 Level of Activity (Units Produced) July 3.500 August 250,000 3,750 260,000 September October 3,800 220,000 3,400 November 340,000 5,800 December 330,000 5.500 January 200,000 2,900 February |March April Мay 210,000 3.300 240,000 3,600 380,000 5,900 350,000 5,600 June 290,000 5,000 a) Determine the variable cost per unit and the fixed cost using the high-low method. b) What is the equation of the total mixed cost function? th and the e) In view of the department's cost behaviour pattern, which of the two methods appear more appropriate? Explain your answer.

Q: The following production estimates were made for the coming year: Total quilts to be produced 5 A.…

A: Manufacturing overhead, also known as indirect costs, which are incurred during the process of…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: The total cost of production may include variable costs and fixed costs. In order to separate these…

Q: Perez Corporation expects to incur indirect overhead costs of $107,550 per month and direct…

A: Total production in units for four months = 5,200 + 8,500 + 3,900 + 6,300 Total production in units…

Q: The table below shows monthly data collected on production costs and on t units produced over a…

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

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: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: ble below shows monthly data collected on production costs and on the number of units produced over…

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

Q: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: Campbell Corporation paid one of its sales representatives $5,500 during the month of March. The rep…

A: First, compute the fixed cost as shown below: Total salary cost = $5,500 Variable cost = 140*$11 =…

Q: Total cost and number of units in the first seven months of 2020 are given below. According to this…

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

Q: hurons Manufacturing produces a single product identified as PFR. Data Orelating to the coming month…

A: Cost of goods sold implies to all the expenses that are of direct nature and are incurred in the…

Q: Lovely Manufacturing has scheduled production as follows for the next several months: Months…

A: 34. Desired ending inventory of raw materials in pounds for February = March production x material…

Q: Cost Formula Princeton Manufacturing Company summarizes the following total cost data for the month…

A: To Determine – Total cost function As we know that total cost has two major components 1) variable…

Q: The controller of Jema Company has requested a quick estimate of the manufacturing supplies that it…

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

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: The question is based on the concept of Cost Accounting

Q: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: In order to draw a line of best-fit, we need to, first of all, draw a scatter diagram.

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

A: High Low Method - High Low method is used bifurcate the fixed cost and variable cost from the total…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: Hello, I am only answering first three subparts of the question as per the policy and if you want…

Q: Gillman Co. is forecasting sales of 62,000 units of products for August. To make one unit of…

A: Budgeted production = Budgeted sales + Desired ending inventories - Beginning inventory

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: Given: The given details are,

Q: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: LouAnne's Widgets has the following sales and production for the next quarter: January February…

A: Total factory overhead for a period is depended on the inputs used and the basis used to determine…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: What is meant by Fixed Cost? It is the cost that does not change with the change in the level of…

Q: Denton Company manufactures and sells a single product. Cost data for the product are given below:…

A: Since you have asked only the variable costing and absorption costing net operating income figures,…

Q: Solomon Corporation paid one of its sales representatives $4,000 during the month of March. The rep…

A: The fixed expenses remain constant at every level of production but variable Expenses change with…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: Fixed cost: Fixed cost refers to those costs that will incur irrespective of the production process…

Q: ,000                                                 3,500                August…

A: Fixed Cost:   A cost which does not change with increase or decrease in amount of goods or services…

Q: Rasmussen Corporation expects to incur indirect overhead costs of $80,000 per month and direct…

A: Manufacturing expenses are simply an expenditure study that estimates how each department in your…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: Total production costs for the wheelbarrow department of Greene Garden Products over a year are in…

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

Q: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: roduced over a twelve month period.                Month              Total ProductionCosts…

A: The term "fixed cost" refers to a cost that remains constant regardless of the number of goods or…

Q: The following is actual data from the two months of operations. Pounds Shipping expense 350 $61,250…

A: SOLUTION- SHIPPING COST- IT IS A COST INCURRED BY A FIRM IN TRANSPORTING THE PRODUCT TO A THIRD…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: Variable cost is the cost that varies with the change in the output. Whereas, fixed cost is the cost…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

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

Q: Denton Company manufactures and sells a single product. Cost data for the product are given below:…

A: i ) Calculation of Unit product cost under Absorption costing: Workings: Calculation of fixed…

Q: The table below shows monthly data collected on production costs and on the number o units produced…

A: Variable cost is the cost which is related indirectly to the production of goods and services.

Q: Based on the following information, calculate fixed costs per month using the high-low method. ​…

A: To compute variable cost.

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: Activity-based costing is mostly used by manufacturing concerns because the production process…

Q: Determine the variable cost per unit and the fixed cost using the high-low method. b) What is the…

A: Solution:-a High Low Method:- Variable cost per unit:- (Highest Activity cost – Lowest Activity…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: 3. Scatter Diagram is Given below:

Q: Denton Company manufactures and sells a single product. Cost data for the product are given below:…

A: Variable costing income statement: Particulars July $ August $ Sales 900,000 1,200,000 Less:…

Q: Assistants please with all workings.  The table below shows monthly data collected on production…

A: Variable cost per unit is the cost of each unit of goods that a company produces.Basically in…

Q: The table below shows monthly data collected on production costs and on the number of units produced…

A: a) Using the line of best-fit, company’s fixed cost per month and the variable cost per unit is:…

Q: he table below shows monthly data collected on production costs and on the number of units produced…

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

Q: ity (Units Produced) July 230,000 3,500 August 250,000 3,750

A: Fixed Cost:   A cost which does not change with increase or decrease in amount of goods or services…

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance. 

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.