Cost Behavior
Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs can be represented by the following formula: Maintenance Cost = $300,000 + $17.40X where X = Number of Heart Stents. Last year, Alisha produced 90,000 stents. Actual maintenance costs for the year were as expected.
Required:
1. What is the total maintenance cost incurred
by Alisha last year? Round your answer to the nearest dollar.
$
2. What is the total fixed maintenance cost
incurred by Alisha last year? Round your answer to the nearest
dollar.
$
3. What is the total variable maintenance cost
incurred by Alisha last year? Round your answer to the nearest
dollar.
$
4. What is the maintenance cost per unit
produced? Round your answer two decimal places.
$per unit
5. What is the fixed maintenance cost per unit?
Round your answer two decimal places.
$per unit
6. What is the variable maintenance cost per
unit? Round your answer two decimal places.
$per unit
1) | Total maintenance cost incurred | 1,866,000 | ||||
300,000 + 17.40*90,000 | ||||||
1,866,000.00 | answer | |||||
2) | total fixed maintenace cost incurred | 300,000 | ||||
3) | total variable maintenance cost incurred | 1,566,000 | ||||
17.40*90000 | ||||||
1,566,000.00 | ||||||
4) | maintenace cost per unit | 20.73 | ||||
1,866,000/90000 | ||||||
20.73333333 | ||||||
5) | Fixed maintenance cost per unit | 3.33 | ||||
300,000/90000 | ||||||
3.333333333 | ||||||
6) | Variable maintenace cost per unit | 17.4 | ||||
Cost Behavior Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past...
Cost Behavior Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs can be represented by the following formula: Maintenance Cost = $1,750,000 + $125x, where X = Number of Heart Stents. Last year, Alisha produced 25,000 medical stents. Actual maintenance costs for the year were as expected. Required: 1. What is the total maintenance cost incurred by Alisha last year? Round your answer to nearest dollar....
Search eBook Calculator Cost Behavior Alisha Incorporated manufactures medical stents for use in heart bypass s bypass surgery. Based on past experience, Alisha has found that its total mairtenance costs can be represented by the following formula: Maintenance Cost- $348,0oD $16.50X where χ-Number of Required 1. What is the total maintenance cost incurred by Alisha last year? Round your answer to the nearest dollar Heart Stents. Last year, Alisha produced 80,000 stents. Actual maintenance costs for the year were as...
Cost Behavior Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs can be represented by the following formula: Maintenance Cost = $1,750,000 + $125X, where X = Number of Heart Stents. Last year, Alisha produced 50,000 stents. Actual maintenance costs for the year were as expected. Required: 1. What is the total maintenance cost incurred by Alisha last year? 2. What is the total fixed maintenance...
Cost Behavior Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs can be represented by the following formula: Maintenance Cost - $1,700,000+ $275X, where X - Number of Heart Stents. Last year, Alisha produced 58,000 stents. Actual maintenance costs for the year were as expected. Required: If required, round your answers to the nearest cent. 1. What is the total maintenance cost incurred by Alisha last...
Cost Behavior Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs can be represented by the following formula: Maintenance Cost = $1,825,000 + $200x, where X = Number of Heart Stents. Last year, Alisha produced 71,000 stents. Actual maintenance costs for the year were as expected. Required: If required, round your answers to the nearest cent. 1. What is the total maintenance cost incurred by Alisha...
Cost Behavior Allsha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs can be represented by the following formula: Maintenance Cost - $1,850,000 + $325X, where X - Number of Heart Stents. Last year, Alisha produced 45,000 stents. Actual maintenance costs for the year were as expected. Required: If required, round your answers to the nearest cent. 1. What is the total maintenance cost incurred by Alisha...
Cost Behavior SmokeCity, Inc., manufactures barbeque smokers. Based on past experience, SmokeCity has found that its total annual overhead costs can be represented by the following formula: Overhead cost = $605,445 + $1.27X, where X equals number of smokers. Last year, SmokeCity produced 22,300 smokers. Actual overhead costs for the year were as expected. Required: 1. What is the driver for the overhead activity? Number of smokers For questions 2-4, Enter the final answers rounded to the nearest dollar. 2....
Cost Behavior SmokeCity, Inc., manufactures barbeque smokers. Based on past experience, SmokeCity has found that its total annual overhead costs can be represented by the following formula: Overhead cost = $560,320 + $1.22X, where X equals number of smokers. Last year, SmokeCity produced 20,600 smokers. Actual overhead costs for the year were as expected. Required: 1. What is the driver for the overhead activity? For questions 2-4, Enter the final answers rounded to the nearest dollar. 2. What is the...
Cost Behavior SmokeCity, Inc., manufactures barbeque smokers. Based on past experience, SmokeCity has found that its total annual overhead costs can be represented by the following formula: Overhead cost = $526,300 + $1.49X, where X equals number of smokers. Last year, SmokeCity produced 19,000 smokers. Actual overhead costs for the year were as expected. Required: 1. What is the driver for the overhead activity? Number of smokers For questions 2-4, Enter the final answers rounded to the nearest dollar. 2....
SmokeCity, Inc., manufactures barbeque smokers. Based on past experience, SmokeCity has found that its total annual overhead costs can be represented by the following formula: Overhead cost = $530,640 + $1.42X, where X equals number of smokers. Last year, Smoke City produced 19,800 smokers. Actual overhead costs for the year were as expected. Required: 1. What is the driver for the overhead activity? For questions 2-4, Enter the final answers rounded to the nearest dollar 2. What is the total...