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PR $6-41($Static$)$ Work Measurement; Cost Estimation with Different Methods; Wholesaler $($LO $6-1,6-2,6-5,6-6)$

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Martha$$s Vineyard Marine Supply is a wholesaler for a large variety of boating and fishing equipment. The company$$s controller, Mathew Knight, has recently completed a cost study of the firm$$s material$-$handling department. Knight used work measurement to quantify the department$$s activity. The control factor unit used in the work$-$measurement study was hundreds of pounds of equipment unloaded or loaded at the company$$s loading dock. Knight compiled the following data.

Month Units of Activity $($hundreds of pounds of equipment loaded or unloaded$)$ Material$-$Handling Department Costs

January $1,400$ $ $11,350$

February $1,20011,350$

March $1,10011,050$

April $2,60012,120$

May $1,80011,400$

June $2,00012,000$

July $2,40012,550$

August $2,20011,100$

September $1,00010,200$

October $1,30011,250$

November $1,60011,300$

December $1,80011,700$