Question: M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first half of the year: Month Appointments Number of Total Cost January 150 $ 5,550 February 225 5,950 March 275 6,950 April 450 6,750 425 325 6,650 6,100 May June Required: Using the high-low method, calculate the total fixed cost per month and the variable cost per tanning appointment. Note: Round your "Variable cost per unit" answer to 2 decimal places and "Fixed cost" answer to the nearest dollar amount. Variable Cost per Unit Fixed Cost

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

A system has two components C1 and C2 , which work in series (i.e., when one component fails, the system fails). Suppose that components fail at rates i , and can be repaired at rates i , i = 1, 2....

Q:

using python code, with each step when mean=0.08024947885631327 std= 0.998728807293671 c. [7 points] Using the results of mean and std , follow the steps below: 1. find the number of data points with...

Q:

When it comes to learning about virtue , it is necessary to act these virtues out in real life and establish a habit of virtue.

Q:

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first...

Q:

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first...

Q:

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first...

Q:

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first...

Q:

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total costs for the first...

Q:

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information reflects its number of appointments and total cosis for the first...

Q:

M5-10 (Algo) Estimating Cost Behavior Using High-Low Method [LO 5-3] Tan-O-Rama is a local tanning salon. The following information refiects its number of appointments and total costs for the first...

Q:

A supervisor that is fair and equitable in the distribution of work is more likely to: exercise an aggressive and controlling manner. snub or ignore people. make discriminatory comments. work to...

Q:

Dying for a Paycheck, Jeffrey Pfeffer: Pfeffer presents layoffs as a lose-lose proposition and lays out the case through data that companies don't have to resort to layoffs. Layoffs negatively impact...

Q:

A maintenance workshop wants to add a new welding station. So the welding manager asked the simulation engineer to provide him with how much space should they allocate. What measures can the...

Q:

The solid shaft AB rotates at 450 rpm and transmits 20 kw from the motor Mto machine tools connected to gears Fand G. Knowing that r all = 55 MPa and assuming that 8 kw is taken off at gear F and 12...

Q:

A thin tube has a diameter of 10 mm. Inside the tube, there is a cold fluid flow at 255 K. Outside the tube, air flows at 270 K with convection coefficient of 100 W/mK. (a) If the convection heat...

Q:

True or false? The following is a valid prof of the theorem that for every integer n, there is an integer k such that n < k < n + 2. Assume n is an integer. Let k be an integer such that n <...

Q:

Case: Kushal is a trainer for Yummy Tummy a home-grown brand, in FMCG business. He is very hardworking and did brilliantly with the managers on their writing and helped them to feel more confident...

Q:

High OK The probabilities that an adult man has high blood pressure and/or high cholesterol are shown in the table. Are high blood pressure and high cholesterol independent? Explain. Cholesterol...

Q:

Costs that are included in the balance sheet value of inventory most likely include: Manufacturing overhead. Selling costs. Administrative overhead.

Q:

Procter & Gamble is a multinational corporation that manufactures and markets many products that you use every day. In 2010, sales for the company were $78,938 (all amounts in millions). The annual...

Q:

Violet Company has sales of $520,000, net operating income of $310,000, average invested assets of $940,000, and a hurdle rate of 10 percent. Calculate Violets return on investment and its residual...

Q:

The following information is available for Walker Industries: Beginning work in process inventory . $ 30,000 Ending work in process inventory ... 25,000 Cost of goods manufactured ...... 180,000...

Q:

Explain why a simulation model with only discrete probability distributions produces the same results as the corresponding decision tree model even though it uses very different solution methods.

Q:

Explain why in decision analysis we are concerned with the expected value of information.

Q:

If you were to make Leah Sanchezs decision of how many calendars to order, what order amount would you chose? Why?