Yang Manufacturing, Which Uses the High-Low Method, Makes a Product

question 18

Multiple Choice

Yang Manufacturing, which uses the high-low method, makes a product called Yin. The company incurs three different cost types (A, B, and C) and has a relevant range of operation between 2,500 units and 10,000 units per month. Per-unit costs at two different activity levels for each cost type are presented below. $\begin{array}{|l|l|l|l|l|l|l|l|}\hline&\text { Type A}&&\text { Type B}&&\text { Type C}&&\text { Total } \\\hline 5,000 \text { units } & \$ 4 & & \$ 9 && \$ 4 & & \$ 17 \\\hline 7.500 \text { units } & \$ 4 && \$ 6 & &\$ 3 & & \$ 13 \\\hline\end{array}$ The cost formula that expresses the behaviour of Yang's total cost is:

• A)Y = $0 + $17X.
• B)Y = $20,000 + $13X.
• C)Y = $40,000 + $9X.
• D)Y = $45,000 + $4X.
• E)Y = $60,000 + $5X.

Recognize the scope of health psychology and its research interests, such as the impact of lifestyle on physical health.

Identify the main personality traits in psychological assessment and their implications.

Comprehend the field of biopsychology and its focus on the relationship between the nervous system and behavior.

Understand the role of industrial-organizational psychology in enhancing workplace productivity and employee satisfaction.

---

Definitions:

Payroll Tax

Taxes imposed on employers or employees, and are usually calculated as a percentage of the salaries that employers pay their staff.

Federal Income Tax

A tax levied by the national government on an individual's or corporation's annual income.

Loss Contingencies

Potential losses that a company might incur if a certain event occurs, recognized in financial statements if the loss is probable and the amount can be reasonably estimated.

Indirect Guarantees

Guarantees provided by a third party to ensure the fulfillment of a contractual obligation indirectly, such as through a subsidiary or parent company.