Which of the above costs is variable

Assignment Help Accounting Basics
Reference no: EM13123221

Account analysis. Raymondo's Restaurant wants to find an equation to estimate monthly utility costs. Raymondo's has only been in business for one month, January 2008, and has the following information for utilities:

a. Electricity is billed by kilowatt hour. According to its first bill, Raymondo's paid $573 for 3,000 kilowatt hours in January.

b. Raymondo's contract with Waste Management for garbage pickup has Raymondo's paying $270 once a quarter.

c. Raymondo's phone contract includes a flat monthly fee of $20 and an additional charge of $0.03 per call. Raymondo's made 1,200 calls in January.

1. Which of the above costs is variable? Fixed? Mixed? Explain.

2. Combine the information above to get a utility cost function for January.

3. If Raymondo's expects to use 4,000 kilowatt hours of electricity in February, and makes the same number of calls as in January, estimate total utilities costs for February.

Reference no: EM13123221

Questions Cloud

Warranty expenditures during the year : In the current year, Hanna Company reported warranty expense of $183,000 and the warranty liability account increased by $28,000. What were warranty expenditures during the year?
Data relating to balances of various accounts : The 2010 income statement showed interest revenue in the amount of $4,900. You are to provide the missing adjusting entry that must have been made, assuming reversing entries are not made. For each journal entry write Dr for debit and Cr for credi..
Replenishing replenishing : Give an analysis of the language, tone, structure and meaning of the poem 'Praise Song For My Mother' by Grace Nichols?
Compute the direct materials price and quantity variances : These 5,000 puzzles used 50,000 diodes at an actual cost $0.28 per diode. All 50,000 diodes were used and there was no ending inventory. Compute the Direct materials price and quantity variances. Use the back of your answer sheet.
Which of the above costs is variable : Electricity is billed by kilowatt hour. According to its first bill, Raymondo's paid $573 for 3,000 kilowatt hours in January.
Create a simple and responsive gui : Please use primarily PHP or Python to solve the exercise and create a simple and responsive GUI, using HTML, CSS and JavaScript.Do not use a database.
Is a weight fain of kilograms unusual : Is a weight fain of 15 pounds of (6.8) kilograms unusual? Why or why not? If 15 pounds (or6.8kilograms) is not unusual does that support the legend of the "freshman 15"?
Liability at the end of the year : Sales were $15 million and actual warranty expenditures were $20,000 for the first year of selling the product. What amount should Right report as a liability at the end of the year?
Comparing equations of lines : For the pairs of lines defined by the following equations indicate with an "I" if they are identical, a "P" if they are distinct but parallel, an "N" (for "normal") if they are perpendicular, and a "G" (for "general") if they are neither parallel ..

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd