Solved: Estimate the total monthly fixed cost, Cost Accounting

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Estimate the total monthly fixed cost

Response to the following problem:

Gambarini Corporation is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly sales volume. The company sells the product for $197.80 per unit.

sales volume (units)............... 6,000 7,000

cost of sales........................ $486,600 $567,700

selling and administrative costs $612,6000 $624,400

The best estimate of the total monthly fixed cost ?

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Cost Accounting: Estimate the total monthly fixed cost

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Cost Accounting: Estimate the total monthly fixed cost

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