QUESTION 11
The managerial accountant at Sunny Manufacturing needs to determine what number of prices are fastened prices and what number of prices are variable prices within the group. The managerial accountant reported the next info:
Sunny Manufacturing
Price Report
January – June 20XXMonthMachine-HoursTotal CostsJanuary1,800$21,500February2,900$23,200March1,000$19,750April2,400$21,000May3,400$23,900
Use the high-low technique to determine the price equation and use machine hours as the bottom for a value driver within the Assessment.
QUESTION 12
The controller for Camden’s Bike Store has gathered the next price and exercise degree info:
Common complete price per unit$225.00Manufacturing degree used to calculate common cost1,000Complete fastened prices$80,000
What’s the complete price of manufacturing 1,000 racing bicycles?
What’s the variable price of manufacturing every racing bicycle?
Suppose the controller makes use of the typical price to predict complete prices. What complete price would the controller calculate for two,500 racing bicycles?
If the controller makes use of the price equation to predict complete prices, what complete price would the controller calculate for two,500 racing bicycles?
Is there a distinction between the forecasted complete price utilizing common price versus the price equation? If there’s a distinction, what creates the distinction? If there is no such thing as a distinction, when would there be a distinction?
QUESTION 13
The managerial accountant at Quick and Imply Manufacturing reported that the group accommodates an automatic manufacturing line to manufacture and produce its merchandise for customers to get pleasure from within the market. The managerial accountant reported that the corporate makes use of the high-low technique to estimate the prices within the new price range. The managerial accountant reported the next info:
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11TH QUESTION
Sunny Manufacturing’s managerial accountant should assess what number of prices are fastened and what number of are variable within the group. The following info was reported by the managerial accountant:
Sunny Manufacturing
Report on Prices
January 20XXMonthMachine-Hours – June 20XXMonthMachine-Hours
Complete Expenses
January1,800$21,500
February2,900$23,200
March1,000$19,750
April2,400$21,000
May3,400$23,900
To estimate the price equation, make the most of the high-low method and machine hours as the idea for a value driver within the Assessment.
12TH QUESTION
The controller for Camden’s Bike Store has gathered the next price and exercise degree info:
Common complete price per unit$225.00
Manufacturing degree used to calculate common cost1,000
Complete fastened prices$80,000
What’s the complete price of manufacturing 1,000 racing bicycles?
What’s the variable price of manufacturing every racing bicycle?
Suppose the controller makes use of the typical price to predict complete
Month Complete Machine-Hours Complete CostsJanuary250,000$5,500,000February248,000$5,260,000March249,000$5,400,000April248,000$5,220,000Could238,000$5,180,000June230,000$5,130,000
Compute the slope of the blended price, or the variable price per unit of exercise.
Compute the vertical intercept, or the fastened price part of the blended price.
What’s the blended price equation?
