Exhibit 5-4 Wayside Company Has Machine Hours of 5,000 and Machine Costs

question 44

Multiple Choice

Exhibit 5-4
Wayside Company has machine hours of 5,000 and machine costs of $170,000 at the high data point.Machine hours are 2,000 and machine costs are $110,000 at the low data point.Wayside uses the high-low method to estimate costs.
-Refer to Exhibit 5-4.What is the estimate of total machine costs at Wayside when 3,700 machine hours are used?

• A)$144,000
• B)$70,000
• C)$140,000
• D)$74,000
• E)None of the answer choices is correct.

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Definitions:

Babinski Reflex

The Babinski reflex is a neurological sign observed in infants when the sole of the foot is stroked, the big toe moves upward or toward the top surface of the foot, and the other toes fan out.

Tertiary Circular Reaction

A stage in Piaget's theory of cognitive development where infants try out new behaviours to see what results they have, displaying early elements of experimentation.

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Unintended physical contact between individuals, which can occur in various contexts and may convey different messages or emotions based on the situation.

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