# Corporate Finance Assignment/ Professional Essay Writers

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X Company’s accountant has collected the following cost and activity information from the past two months to help her develop a cost function that she could use to predict costs in July Production in July is expected to be 9,600 units:

May \$25,200 7,400

June \$29,000 9,300

1a) Assume the accountant used account analysis and data from May to develop the cost function She collected the following additional May information: cost of supplies was \$9,200, all variable, cost of utilities was \$6,000, 70% variable, and cost of rent was \$10,000, all fixed Using the resulting cost function, what would be the estimate of total overhead costs in July?

b) Assume the accountant used the high-low method to develop the cost function with the original May and June information (ignore Question 6 information) Using the resulting cost function, what would be the estimate of fixed overhead costs in July?

c) Using the high-low method cost function, what would be the estimate of variable overhead costs per unit in July?  Get Finance Help Today

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