The Following Data Relate to the Lisle Company for May

question 76

Multiple Choice

The following data relate to the Lisle Company for May and August of the current year:
May and August were the lowest and highest activity levels,and Lisle uses the high-low method to analyze cost behavior.If maintenance hours are estimated to be 26,000 hours in October,which of the following statements is true?

• A)The variable maintenance cost is $18 per hour.
• B)The variable maintenance cost is $22 per hour.
• C)The variable maintenance cost is $24 per hour.
• D)The fixed maintenance cost is $72,000 per month.
• E)More than one of the above statements is truE.

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Definitions:

Union

An organized association of workers formed to protect and further their rights and interests; typically involving collective bargaining.

Older Workers

Individuals in the workforce who are near or beyond the typical age of retirement, often facing unique challenges and opportunities.

Labor Market

A marketplace where workers find paying work, employers find willing workers, and wage levels are determined.

Quality of Life

A measure of personal satisfaction and well-being, encompassing factors such as health, comfort, and happiness.