Wallace Heating is attempting to estimate the production cost for heating ducts for the coming year using

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Wallace Heating is attempting to estimate the production cost for heating ducts for the coming year using the high-low method. The cost driver is number of labor-hours. Wallace determines that the high and low costs are $25,830 and $18,414, respectively, and the values for the cost driver are 3,495 and 1,958 hours, respectively. What is the variable cost per hour?


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Cost management a strategic approach

ISBN: 978-0073526942

5th edition

Authors: Edward J. Blocher, David E. Stout, Gary Cokins

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