Random Inc. Cost data for the last $3$ years

Overhead Costs Units Produced

January$-20$ $$78,0005,679$  Use regression and show the equation used for Random to separate overhead into fixed and variable components.

February$-20$ $$91,0006,751$  How much of the change in costs will this equation predict?

March$-20$ $$100,0007,5390\mathrm{.}803901884=80\mathrm{.}39018835$ 

April$-20$ $$78,0005,335$  What is the variable cost per unit for overhead? Round to the nearest cent

$$89,0006,4807\mathrm{.}693160702=7\mathrm{.}69$ 

June$-20$ $$93,0007,630$  What is the fixed overhead cost per month? Round to the nearest dollar

July$-20$ $$87,0006,33135556\mathrm{.}64606=35,557\mathrm{.}00$ 

August$-20$ $$94,0007,998$  Random analyzes their other costs and finds the following $($in addition to the overhead costs above$)$:

September$-20$ $$81,0005,943$  Direct Mat Each unit of inventory uses $2$ gallons of materials and each gallon costs $$3$ 

October$-20$ $$85,0007,081$  Direct Labor On average a worker can produce $16$ units of product in an $8$ hour shift and gets paid $$200$ for that shift $($how much per unit?$)$ 

November$-20$ $$104,5007,694$  Each month Random spends $$27,500$ on selling and administration costs

December$-20$ $$104,0008,903$  Sales price for $2023$ is estimated at $$38$ per unit

January$-21$ $$92,0007,485$ 

February$-21$ $$104,0009,062$ 

March$-21$ $$96,0008,189$  What is Random's contribution margin per unit? Round to the nearest cent

April$-21$ $$77,0005,410$  contribution Margin $11\mathrm{.}81$ per unit

May$-21$ $$83,0006,556$  How many units does Random need to sell in a month to break even in $2023?$ 

June$-21$ $$95,0007,850$  breakeven in units $=$ total fixed costs$/$contriubution margin per unit

July$-21$ $$65,0004,836$  How many units does Random need to sell in a month to make $$20,000$ of profit before taxes?

August$-21$ $$92,0006,828$  target in units

September$-21$ $$77,0006,221$  How much in dollars must Random sell in a month to make $$90,000$ in profit before taxes?

October$-21$ $$105,0008,238$  target in sales $

November$-21$ $$103,0007,842$ 

December$-21$ $$96,0008,086$  Show the predicted contribution margin format income statement for January if production and sales are $7,100$ units for January $2023$ 

January$-22$ $$84,5006,887$ 

February$-22$ $$100,0008,438$  Show the predicted contribution margin format income statement for February $2023$ if sales increase from January by $200$ units.

March$-22$ $$83,0005,829$  Also in February, selling costs are increased by $$2,000/$month$,$ a new machine increases fixed overhead by $$6,000$ 

April$-22$ $$79,0005,639$  and makes it so that workers can make $24$ in a shift $($changes the direct labor per unit$)$ 

May$-22$ $$74,0005,703$  Other costs should be consistent with January.

June$-22$ $$81,0006,455$ 

July$-22$ $$82,0006,370$ 

August$-22$ $$74,0005,684$ 

September$-22$ $$72,0004,906$ 

October$-22$ $$73,0005,026$ 

November$-22$ $$92,0007,630$ 

December$-22$ $$82,0004,014$