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Unformatted text preview: ______________ Low: ______________ B. Using the high/low method, what is the variable cost per mile? Answer: $______ per mile C. Using the high/low method, what are total fixed costs? Answer: $____________ D. Using your answers to “B” and “C”, write the equation to predict moving van costs: E. If the company expects to drive 9,000 miles in June, what will be the estimated total vehicle costs? Answer: $____________ PROBLEM III : (15 pts) A manager is considering a special project that will increase cash sales by $80,000 and increase costs by $30,000. All cash receipts are taxable and all costs are tax deductible. If the tax rate is 30%, what will be the after-tax profit ( sales revenue minus costs ) from the special project? Answer: $___________ HONOR PLEDGE : “I have worked independently on this quiz. I have neither given nor received any assistance to or from others.” _________________________________ student signature 2...
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- Spring '08
- Accounting, van costs