Reference no: EM132738311
Question: Using High-Low to Calculate Fixed Cost, Calculate the Variable Rate, and Construct a Cost Function Pizza Vesuvio makes specialty pizzas. Data for the past 8 months were collected:
MonthLabor Cost($)Employee Hours January 9,490 420 February 7,000 480 March 7,531 510 April 8,140 380 May 9,787 450 June 8,490 350 July 11,972 580 August 7,500 320
Pizza Vesuvio's controller wants to calculate the fixed and variable costs associated with labor used in the restaurant.
In your calculations, round the variable rate per employee hour to the nearest cent. If required, round your final answers to the nearest cent.
Required: 1. Using the high-low method, calculate the fixed cost of labor.
2. Using the high-low method, calculate the variable rate.
3. Using the high-low method, construct the cost formula for total labor cost.
Total labor cost = $ + ($ × Employee hours)
|
What should be the diluted earnings per share
: Assuming the income tax rate was 32%, what should be the diluted earnings per share for the year ended December 31, 2020 of Professor Company?
|
|
What is the apr on the loan
: You have just purchased a new warehouse. To finance the purchase, you've arranged for a 30- year mortgage loan for 80 percent of the $2,900,000 purchase price.
|
|
What should the present value of lease payments be equal to
: ABC Leasing Company purchased specialized equipment from Hernandez Company on March 1, 2020 for $1,200,000. On the same date, it leased this equipment to.
|
|
What is the maintenance cost per unit produced
: Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs.
|
|
Calculate the variable rate using the high-low method
: Using High-Low to Calculate Fixed Cost, Calculate the Variable Rate, and Construct a Cost Function Pizza Vesuvio makes specialty pizzas.
|
|
Determine the net present value
: Travolta Company accumulates the following data concerning a proposed capital investment: cash cost $211,900, net annual cash flow $41,350.
|
|
Describe the principles of ethical conduct
: Smith Manufacturing Company allows employees to purchase materials, such as metal and limber, for personal use at a price equal to the company's cost.
|
|
Define incremental analysis for anna basketweaving studio
: Anna Garden recently opened her own basketweaving studio. She sells finished baskets in addition to selling the raw materials needed by customers to weave.
|
|
What is balance in collins capital account at end of year
: Assuming that the net income is $60,000 and that each partner withdraws the maximum amount allowed, what is the balance in Collins capital account at the end.
|