Question: I have one and two, can you please help me with 3, 4 and 5? Thank you. CASE 2-26 Mixed Cost Analysis and the Relevant
CASE 2-26 Mixed Cost Analysis and the Relevant Range [L02-4, LO2-5] The Ramon Company is a manufacturer that is interested in developing a cost formula to estimate the fixed and variable components of its monthly manufacturing overhead costs. The company wishes to use machine-hours as its measure of activity and has gathered the data below for this year and last year Last Year This Year Overhead Machine- Overhead Machine- Hours Hours Costs $84,000 $99,000 $89,500 $90,000 $81,500 $75,500 $70,500 $64,500 $69,000 $75,000 $71,500 $78,000 21,000 24,000 23,000 22,000 20,000 18,000 12,000 13,000 15,000 17,000 15,000 18,000 $86,000 $93,000 $93,000 $87,000 $80,000 $76,500 $67,500 $71,000 $73,500 $72,500 $71,000 $75,000 21,000 25,000 22,000 23,000 20,500 9,000 January February . June . August . September .. 10,000 12,000 17,000 16,000 19,000 .. November December
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