Use the folowing information for Exercises 3-30 through 3-32: Lenty, Tkia reneten penet abeast hand ecole atng
Question:
Use the folowing information for Exercises 3-30 through 3-32: Lenty, Tkia reneten penet abeast hand ecole atng osrehtehdnapatri that the costs for hte tanning service would primarily eb fixed but found that tanning salon costs increased with the number of appointments. Costs for this service over the past eight months are as follows: OBJECTIVE B Month Tanning Appointments January 700 February 2,000 March 3,500 April 2,500 May 1,500 June 2,300 July 2,150 August 3,000 Exercise 3-30 High-Low Method Refer to the information for Luisa Crimini above. Required: .1 Which month represents the high point? The low point? Total Cost $1,754 2,140 2,790 2,400 1,790 2,275 2,200 2.640 2. Using the high-low method, compute the variable rate for tanning. Compute hte fixed cost 5. Conceptual Connection: Identify and briefly explain nay additional isues that Luisa might eb wsie ot consider when using hte high-low method ot estimate hte costs of her tanning salon.
Cornerstones of Managerial Accounting
ISBN: 978-0324660135
3rd Edition
Authors: Mowen, Hansen, Heitger