Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the following data relate to the torrence company

The following data relate to the Torrence Company for May and August of the current...

80.2K

Verified Solution

Question

Accounting

The following data relate to the Torrence Company for May and August of the current year:

May August
Maintenance hours 22,000 28,000
Maintenance cost $ 1,273,000 $ 1,387,000

May and August were the lowest and highest activity levels, and Torrence uses the high-low method to analyze cost behavior. Which of the following statements is true?

  • The variable maintenance cost is $50 per hour.

  • The variable maintenance cost is $58 per hour.

  • The variable maintenance cost is $51 per hour.

  • The fixed maintenance cost is $855,000 per month.

  • More than one of the other answers is true.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

How wind force affect projectile velocity? what is the equation of projectile motion velocity x &...

Physics
Q

One essential function of stomates is to control transpiration rates which in turn prevent excess...

Biology
Q

River is home to many different species of fish and other aquatic organisms The is...

Biology
Q

4 1 point Evaluate if t 2 and x 3 3 2x t 102 30...

Algebra
Q

3 3 6y x 6x 10y

Algebra
Q

5 y 4x 12x 8

Algebra
Q

QUESTION 1 (20 MARKS) 1.1 REQUIRED Use the first-in-first-out (FIFO) method to complete the table...

Accounting
Q

For proper controls over PP&E, what should be in place for acquiring new capital assets?...

Accounting
Q

Stockholders' Equity Category ihare. Required

Accounting
Q

Butterfly Corp. manufactures products M1 and M2 from a joint process, which also yields a...

Accounting
Q

2. Define responsibility centers. What are the various types of responsibility centers and how we...

Accounting
Q

Determine the amount of the child tax credit in each of the following cases: Determine...

Accounting