To Follow Is Information About the Units Produced and Total

question 59

Essay

To follow is information about the units produced and total manufacturing costs for Darryl Rug Company for the past six months.
Darryl Rug Company uses the high-low method to estimate its costs.
Answer the following questions:
1. What is the variable cost per unit?
2. What is the monthly fixed manufacturing cost?
3. Write the cost equation that could be used to predict Darryl Rug Company's total manufacturing costs.
4. What will the total monthly manufacturing costs be if the company produces 28,000 units?

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Definitions:

Unconscious Information Processing

Refers to the mental processes not in immediate conscious awareness that influence judgments, feelings, or behaviors.

Circadian Rhythm

Biological processes that display an endogenous, entrainable oscillation of about 24 hours, primarily influenced by light and darkness in an organism's environment.

Biological Functioning

The processes and activities carried out by living organisms to maintain life, including growth, metabolism, reproduction, and response to stimuli.

Conscious Attention

The deliberate focus of one’s awareness on the present moment or a specific task, object, or thought.