Postal Mailbox produces decorative mailboxes. The company's average cost per unit is $27.43 when it produces...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Postal Mailbox produces decorative mailboxes. The company's average cost per unit is $27.43 when it produces 1,700 mailboxes. Requirements 1. What is the total cost of producing 1,700 mailboxes? 2. If $22,831 of the total costs are fixed, what is the variable cost of producing each mailbox? 3. Write Postal Mailbox's cost equation. 4. If the plant manager uses the average cost per unit to predict total costs, what would the forecast be for 1,900 mailboxes? If the plant manager uses the cost equation to predict total costs, what would the forecast be for 1,900 mailboxes? What is the dollar difference between your answers to questions 4 and 5? Which approach to forecasting costs is appropriate? Why? 5. 6. Requirement 1. What is the total cost of producing 1,700 mailboxes? The total cost of producing 1,700 mailboxes is $ Postal Mailbox produces decorative mailboxes. The company's average cost per unit is $27.43 when it produces 1,700 mailboxes. Requirements 1. What is the total cost of producing 1,700 mailboxes? 2. If $22,831 of the total costs are fixed, what is the variable cost of producing each mailbox? 3. Write Postal Mailbox's cost equation. 4. If the plant manager uses the average cost per unit to predict total costs, what would the forecast be for 1,900 mailboxes? If the plant manager uses the cost equation to predict total costs, what would the forecast be for 1,900 mailboxes? What is the dollar difference between your answers to questions 4 and 5? Which approach to forecasting costs is appropriate? Why? 5. 6. Requirement 1. What is the total cost of producing 1,700 mailboxes? The total cost of producing 1,700 mailboxes is $
Expert Answer:
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Based on your answers to questions 4 and 5 above and on the results of the bromine test in your table, describe how mixing a bromine solution with a hydrocarbon compound of unknown structure can help...
-
If the normal cost per unit is $ 45, the ordering cost per order is $70; the annual demand is 2500 units, and the holding cost is 55% of the cost per unit. What order quantity will minimize the total...
-
How did your answers to questions 2 and 3 differ from those in the exercise?
-
What must be done to a functions equation so that its graph is reflected about the x-axis?
-
Can we infer that Republican Party supporters earn more income (INCOME) than do Democratic Party supporters?
-
Use estimation to select the best response in Problems 7-12. Do not calculate. Winning over \(\$ 10\) million in a super lottery is about as probable as A. having a car accident B. having an item...
-
The optimum speeds (in kilometers per hour) for 30 hatchbacks Approximate the mean of the frequency distribution. Car Speeds (in kilometers per hour) 20-24 Frequency 8 25-29 16 30-34 5 35-39 1
-
(Comprehensive Income) Roxanne Carter Corporation reported the following for 2004: net sales $1,200,000; cost of goods sold $750,000; selling and administrative expenses $320,000; and an unrealized...
-
A girl is fishing and pulls out a fish of mass 1.5 kg from the water. The fishing line exerts a vertical force on the fish when it is in the air causing the fish to accelerate 2.0 m/s 2 [Up]. (a)...
-
A horizontal straight wire 5 cm long of a mass 1.2g/m is placed perpendicular to a uniform magnetic field of 0.6 T. If the resistance of the wire 3.8 ohms/m. Calculate the potential difference that...
-
On October 1, 20Y8, Jacinto Suarez and Tricia Fritz form a partnership. Suarez agrees to invest $25,000 in cash and inventory valued at $60,000. Fritz invests certain business assets at valuations...
-
Evaluate the role of human resource management practices in shaping organizational behavior and culture.
-
Daniel is buying Therese's condo with a conventional mortgage. Prior to settlement, both Daniel and Therese will receive settlement statements detailing their closing costs. Who will provide these to...
-
Should auditors be paid by the client for audit work or by an independent agency! Why or why not?
-
Why can China be considered a revolutionary country in the payment game? reason.
-
Murray wants to "pension share" his RRIF payments with Mabel since Mabel is in a much lower tax bracket than Murray. When can Murray implement this strategy?
-
A taut string (string 1) pulls upward on a 6 kg block. A 2 kg block hangs from the 6 kg by another taut string (string 2) which pulls upward on the 2 kg block with a force of 12 N. The tension in...
-
Prove that if Σ an is absolutely convergent, then a. an
-
An advertising agency wanted to determine the relationship between its monthly operating costs and a potential cost driver, professional hours. The output of a regression analysis performed using...
-
The Morgan Restaurant Group manufactures the bags of frozen French fries used at its franchised restaurants. Last week, Morgan's purchased and used 103,000 pounds of potatoes at a price of $0.70 per...
-
Fortunado Company uses ABC to account for its chrome wheel manufacturing process. Company managers have identified four manufacturing activities that incur manufacturing overhead costs: materials...
-
If the liquid has a high thermal conductivity, the heat transfer coefficient depends on \(\mathrm{Pr}^{1 / 2}\). What is the root cause of the increase dependence on \(\mathrm{Pr}\) ?
-
The boundary layer analysis performed in Section 12.6.1 assumed that the fluid was flowing over a stationary plate. However, there is no reason why the fluid cannot be quiescent while the plate moves...
-
At high mass transfer rates, the mass transfer coefficient depends on both the magnitude and direction of mass transfer. Why?
Study smarter with the SolutionInn App