QUESTION 5: The following data relate to the overhead expenditure of a contract cleaners at two activity levels. Square
Posted: Thu May 26, 2022 8:16 am
QUESTION 5:
The following data relate to the overhead expenditure of
a contract cleaners at two activity levels.
Square metres cleaned
13,500
15,500
15,950
Overheads
$84,865
$97,015
$97,850
What is the estimate of the overheads if 17,000 square metres
are to be cleaned if the total fixed costs are expected to increase
by $1,000 when the square metres cleaned exceed 16,000
m2? (Show your working)
The following data relate to the overhead expenditure of
a contract cleaners at two activity levels.
Square metres cleaned
13,500
15,500
15,950
Overheads
$84,865
$97,015
$97,850
What is the estimate of the overheads if 17,000 square metres
are to be cleaned if the total fixed costs are expected to increase
by $1,000 when the square metres cleaned exceed 16,000
m2? (Show your working)