Consider the following data for Magnimus Corporation. Sales in units Sales revenue Direct materials Direct labour...

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Consider the following data for Magnimus Corporation. Sales in units Sales revenue Direct materials Direct labour Manufacturi

business accounting

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Answer 1

Answer #1

The cost equation for administrative expenses (Y):

Y (X) = 36550 + 0 X

This is because at all level the administrative expenses
are $36550, so the variable portion in the cost is 0 and fixed
portion us $36550.

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Answer 2

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