Estimate the variable cost and fixed cost elements]

Reference no: EM13197638

Hoi Chong Transport, Ltd., operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is driven 105,000 kilometers during a year, the average operating cost is 11.40 cents per kilometer. If a truck is driven only 70,000 kilometers during a year, the average operating cost increases to 13.40 cents per kilometer.(The Singapore dollar is the currency used in Singapore.)

Using the high low method, estimate the variable cost and fixed cost elements of the annual cost of the truck operation.

What is the Fixed cost/yr
What is the variable cost/km?

Reference no: EM13197638

Questions Cloud

What is the speed of the plane in calm air : It took a small plan 1 hour longer to fly 480 miles against the wind than it took the plane to fly the same distance with the wind. If the wind speed was 20 mph, then what is the speed of the plane in calm air?

Vesting and founder replacement : Calculate the same numbers for Annabella, Bob, and Vulture Ventures. What control structure would they prefer and how does your answer change when you re-price the first round; i.e., if you allow the price of the first round to vary across the two ..

How many separate codes can be programmed : A certain model of remote-control Stanley garage door opener has six binary (off/on) switches. The homeowner can set any code sequence.

Find a function that relates the rate of vibration : If a string is 30 inches long and vibrates 588 times per second, find a function that relates the rate of vibration to the length of a string.

Estimate the variable cost and fixed cost elements] : Using the high low method, estimate the variable cost and fixed cost elements of the annual cost of the truck operation.

Calculate the second-order partial derivatives : Calculate the second-order partial derivatives.

What npv and valuation would be implied : What would the founder's NPV value be according to Annabella, Krishnuvara, and Bob and what valuations do these three different expectations imply

What many regard as preferential treatment from the courts : What are the major similarities and differences between the juvenile and adult justice systems in the U.S. and should juveniles continue to receive what many regard as preferential treatment from the courts Why or why not

Find the work needed to build the pyramid : A Pyramid is 685 ft high (due to erosion, its current height is slightly less) and has a square base of side 1370 ft. Find the work needed to build the pyramid if the density of the stone is estimated at 120 lb/ft^3.

User Account

All Pages