An analysis of past maintenance costs indicates that maintenance cost is an average of $0.40 per machine-hour at an activity level of 20,000 machine-hours and $0.50 per machine-hour at an activity level of 16,000 machine-hours. Assuming that this activity is within the relevant range, what is the total expected maintenance cost if the activity level is 18,500 machine-hours?
A: $1,600
B: $6,960
C: $8,000
D: $9,000
A: $1,600
B: $6,960
C: $8,000
D: $9,000
举一反三
- An organisation manufactures a single product. The total cost of making 4,000 units is $20,000 and the total cost of making 20,000 units is $40,000. Within this range of activity the total fixed costs remain unchanged.What is the variable cost per unit of the product?
- What is the most appropriate production overhead absorption rate for department 2? A: 50% of direct material cost B: 18% of direct labour cost C: $0.72 per direct labour hour D: $60 per machine hour
- Production costs of product Z vary depending on the level of activity. Costs have been recorded at various levels of activity as follows:What is the variable cost per unit?<br/>______
- A company uses the machine hours method to depreciate the machinery in its factory. A machine that cost $120,000 has an estimated residual value of $30,000 at the end of its four-year useful operating life. Usage over the four years is expected to be:What is the depreciation charge for the machine in Year 3? A: $23,333 B: $31,111 C: $38,889 D: $76,667
- Production department 2 A: Machine hours B: Labour hours