What would be the total production engineering cost per

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Reference no: EM13572070

1.The following data pertains to activity and the cost of cleaning and maintenance for two recent months:

	Month 1		Month 2
Production volume	2,400	units	3,100	units
Cleaning and maintenance costs	$1,000		$1,210

The best estimate of the total month 1 variable cost for cleaning and maintenance is: (Do not round intermediate calculations.)

	$220
	$420
	$720
	$20

At an activity level of 8,500 machine-hours in a month, Nooner Corporation's total variable production engineering cost is $708,900 and its total fixed production engineering cost is $168,210. What would be the total production engineering cost per unit, both fixed and variable, at an activity level of 8,900 machine-hours in a month? Assume that this level of activity is within the relevant range. (Do not round intermediate calculations.)

	$101.95
	$101.41
	$102.48
	$102.30

3.Supply costs at Lattea Corporation's chain of gyms are listed below:

	Client-Visits	Supply Cost
March	11,660	$28,574
April	11,456	$28,408
May	11,988	$28,832
June	13,300	$28,918
July	11,720	$28,635
August	11,206	$28,234
September	12,000	$28,833
October	11,691	$28,591
November	11,839	$28,716

Management believes that supply cost is a mixed cost that depends on client-visits. Using the high-low method to estimate the variable and fixed components of this cost, those estimates would be closest to:(Round your Variable cost per unit to 2 decimal places.)

	$2.02 per client-visit; $28,636 per month
	$.91 per client-visit; $17,471 per month
	$0.37 per client-visit; $24,024 per month
	$0.33 per client-visit; $24,529 per month

Reference no: EM13572070

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