The Rams Company has provided the following information: Month Factory Overhead, Labor Hours July $92,095 4,900 August

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The Rams Company has provided the following information: Month Factory Overhead, Labor Hours

July $92,095 4,900

August 105,056 5,480

September 82,234 3,760

October 99,594 4,420

November 108,694 5,720

December 97,404 3,980

A. Using the high‑low method, calculate the total fixed factory overhead cost and the variable factory overhead cost per direct labor hour.

B. Prepare the cost function.

C. What would the total factory overhead cost be at a level of 8,000 hours?

Related Book For answer-question

Cornerstones of Managerial Accounting

ISBN: 978-0324660135

3rd Edition

Authors: Mowen, Hansen, Heitger

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Posted Date: Apr 14, 2023 01:25 AM

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The Rams Company has provided the following information: Month Factory Overhead, Labor Hours July $92,095 4,900 August

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ANSWER AND EXPLANATION A Using the highlow method we need to identify the highest and lowest levels ... View the full answer

Cornerstones of Managerial Accounting

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