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InClassCh4 - Managerial Chapter l In Class 1 Selected data...

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Managerial Chapter l In Class 1. Selected data about Pitkin Company's manufacturing operations at two levels of activity are given below: Number of units produoed.. 10,000 Total manufaoturing oosts \$157,000 Direot material oost per unit ........... \$+ Direot labor oost per unit ................ \$0 Required: Using the high-low method, estimate the cost formula for manufacturing overhead. Assume that both direct \ Kfttft*tlaborarevariablecosq'* \N\t- bq,,\$ .-,*p,s \ (rNr --3\0[";\\J)+ \Srpto )i,o. -tn;'.Jo;:*;, ':::,1"\i,r2r ill 't\r\\\-b\lr0Q0 , \= 3.rjrt2\, ffi -\1u\i*'tff;,.' N "l \ ( \rirn \t Sg\ ,. t*.r"ii"".i)Jolb+Sa the followi"! Ju.lio""".,'ir,'e its maintenance costs: N Ng , rr,-*,.w Maohine-Hours Maintenanoe Cost '. i'r '.1"r:r5J ]t ',* ,',:;-.., - March 4,440 \$50,950 ..S- f*i.""s i\ 111.rt April 4,43I \$50,877 -' r \ - \'"' May ......... 4,412 \$50,696 June ......... 4,460 \$51,113 - Ju1y .......... 4,414 \$50,711 August 4,433 \$50,900 September 4,443 \$50,976 october ............... :... 4,415 \$50,731 Novembor 4,39L \$50,530 - Management believes that maintenance

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InClassCh4 - Managerial Chapter l In Class 1 Selected data...

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