Question: E5-2 Determining Cost Behavior and Calculating Expected Cost [LO 5-1] Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells

 E5-2 Determining Cost Behavior and Calculating Expected Cost [LO 5-1] MorningDove Company manufactures one model of birdbath, which is very popular. Morning

E5-2 Determining Cost Behavior and Calculating Expected Cost [LO 5-1] Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is 0-1,600 units, and monthly production costs for the production of 1,300 units follow. Morning Dove's utilities and maintenance costs are mixed with the fixed components shown in parentheses. Total Cost $ 2,300 7,900 Production Costs Direct materials Direct labor Utilities ($140 fixed) Supervisor's salary Maintenance ($300 fixed) Depreciation 620 2,600 490 750 Required: 1. Identify each cost as variable, fixed, or mixed, and express each cost as a rate per month or per unit (or combination thereof). (Round your per unit value to 2 decimal places.) Production Costs Behavior Rate Direct Materials per Unit per Month Direct labor per Unit per Month Utiliti per Unit per Month Supervisor's Salary per Unit per Month Maintenance per Unit per Month Depreciation per Unit per Month 2. Determine the total fixed cost per month and the variable cost per unit for Morning Dove. (Round your variable cost per unit to 2 decimal places.) Total Variable Cost per Unit Total Fixed Cost per Month 3. State Morning Dove's linear cost equation for a production level of 0-1,600 units. Enter answer as an equation in the form of y = a + bx. (Round your variable cost per unit to 2 decimal places.) Total Cost = 4. Calculate Morning Dove's expected total cost if production increased to 1,500 units per month. Enter answer as an equation in the form of y = a + bx. (Round Variable cost per unit to 2 decimal places.) a + b X

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