Given the following four cost behaviors and expected levels of cost-driver activity, predict total cost:

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Given the following four cost behaviors and expected levels of cost-driver activity, predict total cost:

a. Fuel cost of driving vehicles, $.40 per mile, driven 16,000 miles per month

b. Equipment rental cost, $5,000 per piece of equipment per month for seven pieces for 3 months

c. Ambulance and EMT personnel cost for a soccer tournament, $1,200 for each 200 tournament participants; the tournament is expecting 2,400 participants

d. Purchasing department cost, $7,500 per month plus $5 per material order processed at 4,000 orders in one month.

    • 13 years ago
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