Question: Tasty Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was 25000 when 880 ours

Tasty Catering uses the high-low method to predict its total overhead costs.

Tasty Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was 25000 when 880 ours were worked and 27300 when 980 ours were worked. If Tasty Catering has 855 hours scheduled for next month, what is the expected total overhead cost for next month? Use the high-low method to determine the variable and fixed costs components of Tasty Catering's operating cost equation First identify the formula and calculate the variable cost component (slope). (Enter the variable cost per unit to the nearest cent.) Change in costs $ 2,700 Change in volume 100 Variable cost per unit 27.00 Next identify the formula and compute the fixed cost component (the vertical intercept) using the costs for the highest level of activity. $ Total mixed (overhead) cost 27,800 Total variable cost 25,110 Total fixed costs 2,690 Complete Tasty Caterings's operating cost equation y= $ 27.00 + $ 2,690 If Tasty Catering has 880hours scheduled next month, what is the expected total overhead cost? The total monthly operating costs if Tasty Catering works 855 labor hours is $ 25,775

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!

Two Sisters Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was $25,300 when 840 hours were worked and $27,500 when 940 hours were...

Brimfield Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was $25,600 when 860 hours were worked and $27,800 when 960 hours were...

"This is really an odd situation," said Jim Carter, general manager of Highland Publishing Company. "We get most of the jobs we bid on that require a lot of press time in the Printing Department, yet...

Tasty Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was $25,600 when 820 hours were worked and $27,200 when 920 hours were worked....

Yummy Yummy Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was $25,400 when 840 hours were worked and $27,000 when 940 hours were...

7 of 87 complete HW Score: 73.08%, 7.31 of 10 pts Score: 0.31 of 2 pts S6-9 (similar to) Question Help Two Brothers Catering uses the high-low method to predict its total overhead costs Past records...

Bricks and Mortar Company uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was $25,200 for 870 labour hours worked and $27,600 for 970 for...

Yummy Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was $25,700 when 860 hours were worked and $27,000 when 960 hours were worked....

Fabulous Catering uses the high-low method to predict its total overhead costs. Past records show that total overhead cost was $25 200 when 810 hours were worked and $27 700 when 910 hours were...

Utilizing any of the search methods, determine whether capitalization of interest is required or optional when getting an asset ready for use.

You want to purchase an $800,000 T Bill with 200 days to maturity and a BEY (bond equivalent yield) of 2.25%. What is the purchase price of the Bill? a). $790,257.10 b). $789,459.78 c). $789,402.54...

Choose a global firm and write a 2 , 5 0 0 APA formatted document with at least 1 0 peer - reviewed references. Assume you are the senior leader and write your paper on the following:

Company D showed a profit of $1.9 million last year. The CEO of the company expects the profit to increase by 0.04 million dollar each year over the next 5 years and the profits will be continuously...

Identify a company within the last 10 years that has dropped the ball due to poor accounting quality which negatively impacted investors, profitability, etc.. Share what was the incident - an...

Which one of the following exemplifies exocytosis? Steps 1 and 5 Step 2 Step 3 Steps 2 and 4 1. On the plasma membrane of the signaling neuron, voltage-gated Ca2* channels open. Ca2* ions diffuse...

One year ago, Allan Thorpe founded Alcazar Sales Company, and the business has prospered. Allan comes to you for advice. He wishes to know how much net income the business earned during the past...

Jebali Corporation owns 15% of Demiter Corporation's stock. On September 20, Demiter Corporation, with current E & P of $955,000, distributes land (fair market value of $450,000; basis of...

Determine if the overhead allocated to the product relates to a single plantwide overhead rate method, multiple production department factory overhead rate method, or activity-based costing...

We argued that the diversification effect occurs whenever the correlation between the two securities is below LO.1

The relationship between the expected return on individual securities and the expected return on a portfolio made up of these securities.

The relationship between the standard deviations of individual securities, the correlations between these securities, and the standard deviation of a portfolio made up of these securities. LO.1