question archive Ex 6 Local bank does not know how much of its cheque-processing costs are fixed and how much are variable
Ex 6 Local bank does not know how much of its cheque-processing costs are fixed and how much are variable
Subject:BusinessPrice: Bought3
Ex 6 Local bank does not know how much of its cheque-processing costs are fixed and how much are variable. However, total costs have been estimated at $750,000 for processing of 1,000,000 transactions and $850,000 for processing of 1,200,000 transactions. Required: 1- What are the variable costs per transaction? 2- What are the fixed costs? 3- Determine the expected costs of processing 1,300,000 transactions. Answer Volume (transactions) 1,200,000 1,000,000 200,000 Cost $850,000 $750,000 $100,000 Change
