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kogti [31]
3 years ago
5

Fulton and Sons, Inc. presently leases a copy machine under an agreement that calls for a fixed fee each month and a charge for

each copy made. Fulton made 13,000 copies and paid a total of $470 in March; in May, the firm paid $420 for 10,000 copies. The company uses the high-low method to analyze costs.Fulton’s variable cost per copy is: (Round your final answer to 3 decimal places)A. $0.017.B. $0.028.C. $0.030.D. $0.033.E. None of the answers is correct.
Business
1 answer:
aivan3 [116]3 years ago
3 0

Answer:

a.$0.017.

Explanation:

Fulton and Sons, Inc. use high-low method to calculate costs. This is one of the methods to estimate cost. This method analyzes high level of activity and low level of activity and then compares it with cost at each level of activity. The variable cost per copy will be calculated by the formula given below,  

The variable cost per copy = (High Cost - Low cost) / (High units - Low units)  

= $470 - $420 / 13,000 - 10,000  

= $50 / 3000  

= $0.017 per copy.  

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Answer: Entrepreneurs

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The demand for money is higher in japan than in the united states because they do not accept credit cards
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3 years ago
On December 1, 20x1 Pimlico made sales to a customer in India and recorded Accounts Receivable of 10,000,000 rupees. The custome
Mashcka [7]

Answer:

Total value (5,400)

Explanation:

10,000,000 rupees

option to sale ruppes at $2.30

2.3

The spot rate was 2.80

Option Premium:

10,000,000 / 100 x 0.004 = 400

Stop difference:

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3 0
3 years ago
You would like to combine a risky stock with a beta of 1.5 with U.S. Treasury bills in such a way that the risk level of the por
Deffense [45]

Answer:

33.33%

Explanation:

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Portfolio = Weight of stock*Beta of stock + Weight of T-bills*Beta of T-bills

1 = (1-x)*1.5 + x*0

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x = 0.5/1.5

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Therefore, the percentage of the portfolio invested in treasury bills is 33.33%.

5 0
3 years ago
Beto Company pays $4.70 per unit to buy a part for one of the products it manufactures. With excess capacity, the company is con
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Here, we are decide the best option between making the part or buying the part.

a.                  Make or Buy Analysis

Particulars                              Make amount    Buy amount

Direct Materials                            $4.50

Direct Labor                                $1.00  

Overhead (80% of Direct Labor)    $0.80  

Cost to buy                            <u>              </u>            <u>$4.70</u>

Cost per unit                              <u>$5.70    </u>          <u>$4.70</u>

Cost Difference = $5.70 - $4.70

Cost Difference = $1.00

Therefore, the cost difference of making amount over buying amount is $1.00.

b. Because of the difference, Beto should buy the part because its cost is lesser than to make the part.

Therefore, the buying of the part is the best decision.

See similar solution about Analysis

<em>brainly.com/question/23287319</em>

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