X Company's accountant uses account analysis to estimate costs for each month, with direct labor hours...

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X Company's accountant uses account analysis to estimate costs for each month, with direct labor hours as the independent variable. In September, she did the following cost behavior analysis for three specific cost items: Cost Item Insurance Variable Cost $0 Total Cost $337,500 338,464 328,946 Utilities Indirect labor 338,464 235,424 In September, direct labor hours were 11,200. If direct labor hours in December are expected to be 12,100, what are expected total costs for these three cost items in December? X Company's accountant uses account analysis to estimate costs for each month, with direct labor hours as the independent variable. In September, she did the following cost behavior analysis for three specific cost items: Cost Item Insurance Variable Cost $0 Total Cost $337,500 338,464 328,946 Utilities Indirect labor 338,464 235,424 In September, direct labor hours were 11,200. If direct labor hours in December are expected to be 12,100, what are expected total costs for these three cost items in December?

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To estimate the expected total costs for the three cost items in December we can use the cost behavi... View the full answer