Mixed Costs: There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced. The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable. High-Low Method: This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows: Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units ) The formula to calculate the Fixed Cost is as follows: Fixed Cost = Total cost - (Units × Variable cost per unit) Requirement 1: To indicate: The scattered diagram.

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Answer 1

Question

Chapter 5, Problem 4QS

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 1:

To indicate:

The scattered diagram.

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 2:

To calculate:

The Fixed and variable cost using the high low method.

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Answer 2

Question

Chapter 5, Problem 4QS

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 1:

To indicate:

The scattered diagram.

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 2:

To calculate:

The Fixed and variable cost using the high low method.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 5, Problem 4QS

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 1:

To indicate:

The scattered diagram.

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 2:

To calculate:

The Fixed and variable cost using the high low method.

Expert Solution & Answer

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Answer 4

Question

Chapter 5, Problem 4QS

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 1:

To indicate:

The scattered diagram.

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 2:

To calculate:

The Fixed and variable cost using the high low method.

Expert Solution & Answer

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See solution

Answer 5

Chapter 5, Problem 4QS

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 1:

To indicate:

The scattered diagram.

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 2:

To calculate:

The Fixed and variable cost using the high low method.

Answer 6

Chapter 5, Problem 4QS

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 1:

To indicate:

The scattered diagram.

Answer 7

Chapter 5, Problem 4QS

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 1:

To indicate:

The scattered diagram.

Answer 8

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 2:

To calculate:

The Fixed and variable cost using the high low method.

Answer 9

To determine

Concept introduction:

Mixed Costs:

There are three types of costs according to the unit of production; Variable, Fixed and Mixed. Variable costs change proportionally with the number of units produced and variable cost per unit remains constant. Fixed Cost remains same in totality irrespective of the number of units produced.

The mixed cost is the mix of variable and fixed cost, some of its part is fixed and some variable.

High-Low Method:

This method is used to determine the fixed as well as variable part of the mixed cost. The formula for calculation of variable cost per unit is as follows:

Variable cost per unit = ( High Cost - Low Cost ) ( High units - low units )

The formula to calculate the Fixed Cost is as follows:

Fixed Cost = Total cost - (Units×Variable cost per unit)

Requirement 2:

To calculate:

The Fixed and variable cost using the high low method.

Answer 10

Expert Solution & Answer

Answer 11

Expert Solution & Answer

Answer 12

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Answer 13

Ch. 5 - Prob. 1MCQ Ch. 5 - Prob. 2MCQ Ch. 5 - Prob. 3MCQ Ch. 5 - Prob. 4MCQ Ch. 5 - Prob. 5MCQ Ch. 5 - Prob. 1DQ Ch. 5 - Prob. 2DQ Ch. 5 - When output volume increases, do fixed costs per...Ch. 5 - How is the cost-volume-profit analysis useful?Ch. 5 - Prob. 5DQ

Solution Summary: The author explains that there are three types of costs according to the unit of production; Variable, Fixed and Mixed.

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