XYZ Company has been using Units Produced to allocate Maintenance Costs. Cal Q. Lator, the
accounting manager, has been noticing wild shifts in the amount of maintenance being charged, so he
wants you to look into it. Data has been gathered for several possible cost drivers along with total
maintenance. Using regression, determine which of units produced, batches processed, machine hours, or
direct labor hours is the best cost driver for maintenance costs. Prepare a memo to Cal to choose the best
cost driver and predict what September maintenance costs will be based on the selected cost driver.
Units
Batches
Data:
Machine DL Hours Total
Month Produced Hours 864
822
1074
900
900
846
912
768
948
1152
780
750
672
810
900
888
660
936
678
804
912
960
852
900 Processe
d
1,737
1,734
1,752
1,777
1,792
1,790
1,839
1,853
1,731
1,737
1,729
1,785
1,678
1,566
1,604
1,612
1,696
1,930
1,543
1,492
1,683
1,785
1,530
1,870 Sep-13
Oct-13
Nov-13
Dec-13
Jan-14
Feb-14
Mar-14
Apr-14
May-14
Jun-14
Jul-14
Aug-14
Sep-14
Oct-14
Nov-14
Dec-14
Jan-15
Feb-15
Mar-15
Apr-15
May-15
Jun-15
Jul-15
Aug-15
Estimated
Activity
Sep-15 23,400
28,600
27,950
30,680
31,850
22,880
26,000
20,540
23,725
27,950
26,000
26,650
23,140
26,585
26,884
23,205
21,060
22,880
23,985
23,530
31,980
35,399
30,498
29,302 45,468
56,887
95,014
69,094
74,941
50,310
71,314
34,777
49,153
78,947
43,540
41,683
31,774
45,556
49,588
43,467
21,609
33,061
31,813
35,396
69,548
83,162
63,007
70,367 792 1,791 24,005 49,006 Maintena
nce Costs
$ 38,159
$ 42,312
$ 47,119
$ 44,190
$ 45,825
$ 39,867
$ 44,549
$ 36,321
$ 37,962
$ 42,132
$ 38,955
$ 38,894
$ 36,821
$ 39,060
$ 38,774
$ 37,237
$ 33,158
$ 33,380
$ 36,731
$ 36,006
$ 44,064
$ 46,656
$ 43,488
$ 44,454
Â
Attachments:
Answers
Status NEW
Posted 20 Jun 2017 02:06 AM
My Price 20.00
-----------
Attachments
file 1497927192-Solutions file.docx preview (56 words )
S-----------olu-----------tio-----------ns -----------fil-----------e
-----------Hel-----------lo -----------Sir-----------/Ma-----------dam-----------
T-----------han-----------k y-----------ou -----------for----------- yo-----------ur -----------int-----------ere-----------st -----------and----------- bu-----------yin-----------g m-----------y p-----------ost-----------ed -----------sol-----------uti-----------on.----------- Pl-----------eas-----------e p-----------ing----------- me----------- on----------- ch-----------at -----------I a-----------m o-----------nli-----------ne -----------or -----------inb-----------ox -----------me -----------a m-----------ess-----------age----------- I -----------wil-----------l b-----------e q-----------uic-----------kly----------- on-----------lin-----------e a-----------nd -----------giv-----------e y-----------ou -----------exa-----------ct -----------fil-----------e a-----------nd -----------the----------- sa-----------me -----------fil-----------e i-----------s a-----------lso----------- se-----------nt -----------to -----------you-----------r e-----------mai-----------l t-----------hat----------- is----------- re-----------gis-----------ter-----------ed -----------onÂ----------- th-----------is -----------web-----------sit-----------e.
-----------
H-----------YPE-----------RLI-----------NK -----------&qu-----------ot;-----------htt-----------p:/-----------/wo-----------rkb-----------ank-----------247-----------.co-----------m/&-----------quo-----------t; -----------\t -----------&qu-----------ot;-----------_bl-----------ank-----------&qu-----------ot;-----------
-----------Tha-----------nk -----------you-----------
-----------
Not Rated(0)