Search:

Question 1: Maint. 156000 - 129000 = 27000
Question 2: Y=156000 + 1.30 X(hours)
Question 3: 222,359 =156000+1.30*56430

Please help.

Low High
Total 222,690 244,920
Rent (129,000) (129,000)
Indirect (39461.54) (52615.38)

Maint 54,228.46 63,304.62

Machine hours:

High 68400/1.30 = 52,615.38
Low 51300/1.30 = 39,461.54

I am going back over question this is what I show:

(244920-22269)/(68400-51300)
22230/17100 = 1.3
1.3X244920=318396
244920-318396

I am confused, will you please help?

I have the following answers; but I was having difficulty with the 3rd question.

I am showing #1: 54360

#2: 129000 + 5130

Problem 5-23 High-Low Method; Predicting Cost [LO1, LO3]

Echeverria SA is an Argentinian manufacturing company whose total factory overhead costs fluctuate somewhat from year to year according to...