Marcie Publishing Company (Marcie) is a publisher of novels. The monthly equipment maintenance cost for Marcie...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Marcie Publishing Company (Marcie) is a publisher of novels. The monthly equipment maintenance cost for Marcie is considered to be a mixed cost. The variable portion of the cost is related to the number of novels published. The production volume and maintenance costs for the past six months are presented below. Marcie uses the high-low method to separate mixed costs into its fixed and variable portions, Month Volume of Production (Number of Novels) Equipment Maintenance Costs May 496,000 249,000 202,000 113,000 585,000 273,000 $6,327 June July August September October $3,818 $3,340 $2,436 $7,232 $4,062 Do not enter dollar signs or.commas in the input boxes. a) Calcutate the variable rate for the equipment maintenance cost. Bound your answer to S decimalplaces. Variable Cost per Unit S b) Calculate the fixed portion of the equipment maintenance cost. Bound your answer to the nearest whole number. Fixed Cost $ O Assume that 420,000 novels is the budgeted production level for Ortoher thinn th $4,06 Do not enter dollar signs or commas in the input boxes, a) Calculate the variable rate for the equipment maintenance cost. Round your answer to 5 decimal places. Variable Cost per Unit: $ b) Calculate the fixed portion of the equipment maintenance cost. Round your answer to the nearest whole number. Fixed Cost $ ) Assume that 420,000 novels is the budgeted production level for October. Using the results of the high-low method in parts a) and b), what is the expected total equipment maintenance cost for October? Round your answer to 2 decimal places Expected total equipment maintenance cost for October: $ Check Marcie Publishing Company (Marcie) is a publisher of novels. The monthly equipment maintenance cost for Marcie is considered to be a mixed cost. The variable portion of the cost is related to the number of novels published. The production volume and maintenance costs for the past six months are presented below. Marcie uses the high-low method to separate mixed costs into its fixed and variable portions, Month Volume of Production (Number of Novels) Equipment Maintenance Costs May 496,000 249,000 202,000 113,000 585,000 273,000 $6,327 June July August September October $3,818 $3,340 $2,436 $7,232 $4,062 Do not enter dollar signs or.commas in the input boxes. a) Calcutate the variable rate for the equipment maintenance cost. Bound your answer to S decimalplaces. Variable Cost per Unit S b) Calculate the fixed portion of the equipment maintenance cost. Bound your answer to the nearest whole number. Fixed Cost $ O Assume that 420,000 novels is the budgeted production level for Ortoher thinn th $4,06 Do not enter dollar signs or commas in the input boxes, a) Calculate the variable rate for the equipment maintenance cost. Round your answer to 5 decimal places. Variable Cost per Unit: $ b) Calculate the fixed portion of the equipment maintenance cost. Round your answer to the nearest whole number. Fixed Cost $ ) Assume that 420,000 novels is the budgeted production level for October. Using the results of the high-low method in parts a) and b), what is the expected total equipment maintenance cost for October? Round your answer to 2 decimal places Expected total equipment maintenance cost for October: $ Check
Expert Answer:
Answer rating: 100% (QA)
a Variable Cost per unit 001016 72322436585000113000 Change in cost ... View the full answer
Related Book For
Fundamentals of Financial Accounting
ISBN: 978-1259864230
6th edition
Authors: Fred Phillips, Robert Libby, Patricia Libby
Posted Date:
Students also viewed these accounting questions
-
Manhattan Company's sales budget is presented below. Budgeted unit sales Sales price Sales revenue $132.150 July $120.000 $126,750 $66,000 August September October 16,000 15,000 12,000 $160.000...
-
Universal Comics Limited (Universal) is a publisher of purely Canadian comic books and owns the exclusive rights to all its characters. Universals newest character released two years ago, Ridgeback...
-
The Creative Publishing Company (CPC) is a coupon book publisher with markets in several southeastern states. CPC coupon books are sold directly to the public, sold through religious and other...
-
Discuss the methodology of logical positivism and falsification in questions of a pre history of science and technology studies
-
When the parent company uses the cost method, an adjustment must be made to its retained earnings on consolidation in every year after the year of acquisition. Why is this entry necessary? Why is a...
-
Triangulation is used to locate airplanes, boats, or vehicles that transmit radio signals. The distances to the vehicle are found and the directions calculated by measuring the strength of the signal...
-
What are the three types of employees who work in MNEs? Explain how an HCN could change to become a TCN in an MNE.
-
1. What are the inputs, processing, and outputs of UPSs package tracking system? 2. What technologies are used by UPS? How are these technologies related to UPSs business strategy? 3. What strategic...
-
How do to calculate the NPV? Given Investment Plant life Salvage value $ 4,000,000 5 $ 400,000 Variable Cost % 45% Fixed operating cost $ 1,000,000 Tax rate 38% Working capital Required Rate of...
-
Calculate the NPV of the proposed overhaul of the Vital Spark, with and without the new engine and control system. To do the calculation, you will have to prepare a spreadsheet table showing all...
-
Assign 1020h to 0080:0400h and 50h to 0080:0500h write a program that store; a) the sum of these two numbers in 0080:0600h b) the difference of these two numbers in 0080:0602h c) the product of these...
-
Assume there are 10 equally sized hospitals in a market area. 1. Calculate the HHI. 2. Consider the case where two hospitals in the market area inform the Department of Justice (DOJ) that they wish...
-
Both Austin and Jasmine purchased items on account thru Mason Landscaping. Austin will pay its account within 30 days. Jasmine signed a written promise to pay within 90 days with a 1% monthly...
-
What figure is arrived at when the totals from each section of the statement of cash flows are added together?
-
The income statement provided by employees of Walters Corporation exhibits several weaknesses in classification and disclosure. Let's discuss these weaknesses and suggest improvements in accordance...
-
Jacob and Susan Merritt are going to start a family limited partnership for the benefit of their children. They are going to meet with an attorney to discuss the implications and requirements of the...
-
Examine the following MATLAB code and identify and correct the errors within it. Errors can be related to syntax, runtime, or logic. Make the necessary corrections to ensure the code runs correctly....
-
The baseball player A hits the ball from a height of 3.36 ft with an initial velocity of 34.8 ft/s. 0.14 seconds after the ball is hit, player B who is standing 15 ft away from home plate begins to...
-
Why is revenue from selling a product/service bundle allocated between the product and service?
-
Netpass Company has 300,000 shares of common stock authorized, 270,000 shares issued, and 100,000 shares of treasury stock. The companys board of directors declares a dividend of $1 per share of...
-
Over the period to maturity, why does yearly interest expense decrease on an installment note?
-
Draw a cash flow diagram of any investment that exhibits both of the following properties: 1. The investment has a 4-year life. 2. The investment has a 10 percent/year internal rate of return.
-
What is the internal rate of return of the following cash flow diagram? a. 20 percent b. 18.2 percent c. 17.5 percent d. 15 percent $30 $31 0 1 2 3 $30 $15
-
Quilts R Us (QRU) is considering investing in a new patterning attachment with the cash flow profile shown in the table below. QRU's MARR is 13.5 percent/year. a. What is the internal rate of return...
Study smarter with the SolutionInn App