Solution-Estimate electricity costs for a month

Estimate electricity costs for a month

Assignment Help Cost Accounting

Reference no: EM132866632

Question - Koch, Inc., believes their electricity costs are affected by the number of machine hours worked. Machine hours and electricity costs for the past year were as follows:

Month	Machine Hours	Electricity Costs
January	300	Rs. 6,000
February	240	4,250
March	580	7,750
April	860	9,750
May	1,040	11,250
June	940	11,000
July	1,140	14,000
August	900	12,250
September	1,240	14,250
October	740	7,750
November	480	7,000
December	380	6,500

Required - Using the high-low method,

a. Develop an estimate of variable electricity costs per machine hour.

b. Develop an estimate of fixed electricity costs per month.

c. Develop a cost function for monthly electricity costs.

d. Estimate electricity costs for a month in which 500 machine hours are worked using the cost function in requirement c above.

Reference no: EM132866632

Questions Cloud

Most important aspect of accident investigation : Why are corrective actions perhaps the most important aspect of your accident investigation?

Focusing on the drawbacks of process change : How realistic and common do you believe the situation depicted in the video is in today's business world?

Describe the roles of the media in influencing government : You are attending an international journalist, Describe the roles of the media in influencing government and its citizens using specific descriptive examples

Draw a fishbone diagram on any business subject : Please draw a Fishbone Diagram on any business subject/problem/issue of your choice. Then, draw a Gantt Chart of the steps to solve your chosen problem/issue

Estimate electricity costs for a month : Estimate electricity costs for a month in which 500 machine hours are worked using the cost function in requirement c above

Analyze the theory of the politics of the united states : Analyze and critique the theory and practice of the politics and governments of the United States and California. Use two tools of analysis

Elimination of hazards the number one priority : Why is the elimination of hazards the number one priority in the Hazard Control Precedence? When is PPE seen as a viable option for corrective action? Why?

Average number of citations of all fifty journals : (i) The average number of citations of the subscribed journals should exceed the average number of citations of all fifty journals.

Write random plaintext with n number of characters : Discuss at least three efficient methods that could be used to achieve confidentiality, integrity, authentication, and non-repudiation

User Account

All Pages

Estimate electricity costs for a month

Reference no: EM132866632

Reference no: EM132866632

Questions Cloud

Reviews

Write a Review

Cost Accounting Questions & Answers

Cost accounting assignment

Prepare the journal entries

Advise as to the liability of all the parties

Prepare revenues budget

Effect of exchange rate changes on cash and cash

Corporate governance

Cost-benefit analysis

Non-annual interest rates and annuities

Job costing in service organizations

Accounting for bad debt expense

Accounting and partnership problems

Development of relevant cash flows

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT