question archive Board? Games, Inc
Board? Games, Inc
Subject:AccountingPrice:2.87 Bought7
Board? Games, Inc. makes board games. The following data pertains to the last six? months:
|
Direct Labor Hours |
Manufacturing Overhead |
|
|
Month 1 |
?45,000 |
?$295,000 |
|
Month 2 |
62,000 |
$313,000 |
|
Month 3 |
?57,000 |
?$323,000 |
|
Month 4 |
?52,000 |
?$247,250 |
|
Month 5 |
?34,000 |
?$178,200 |
|
Month 6 |
23,000 |
$164,500 |
Based on this? data, what is the value of? "v" in the equation y? = vx? + f?? (Round intermediary calculations to the nearest? cent.)
A. $3.81
B. $5.67
C. .18
D. .26
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Answer:
V = Variable cost per machine hour :
Variable cost per machine hour = Change in cost/Change in machine hour
= (313000-164500)/(62000-23000)
Variable cost per machine hour = 3.81
so answer is a) $3.81
