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The controller of Norton Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Month   Total Maintenance Costs   Total Machine Hours January   $2,930     350 February   3,230     400 March   3,830     550 April   4,730     640 May   3,430     550 June   5,840     750     Determine the variable cost components using the high-low method. (Round variable cost to 3 decimal places e.g. 12.250.) Variable cost per machine hour   $  Determine the fixed cost components using the high-low method. (Round answer to 0 decimal places e.g. 2,520.) Total fixed costs   $

The controller of Norton Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Month   Total Maintenance Costs   Total Machine Hours January   $2,930     350 February   3,230     400 March   3,830     550 April   4,730     640 May   3,430     550 June   5,840     750     Determine the variable cost components using the high-low method. (Round variable cost to 3 decimal places e.g. 12.250.) Variable cost per machine hour   $  Determine the fixed cost components using the high-low method. (Round answer to 0 decimal places e.g. 2,520.) Total fixed costs   $

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The controller of Norton Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs.

Month
  
Total
Maintenance Costs
  
Total
Machine Hours
January   $2,930     350
February   3,230     400
March   3,830     550
April   4,730     640
May   3,430     550
June   5,840     750
 
 
Determine the variable cost components using the high-low method. (Round variable cost to 3 decimal places e.g. 12.250.)

Variable cost per machine hour  
$ 
Determine the fixed cost components using the high-low method. (Round answer to 0 decimal places e.g. 2,520.)

Total fixed costs  
$ 
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