Whitehorse Company manufactures ultrasound equipment. Based on past experience, Whitehorse has found that total annual repair and maintenance cost can be represented by the following formula: total annual repair and maintenance cost = $300,000 + $10.00x, where x = machine hours. Last year, Whitehorse incurred 150,000 machine hours.
Required:
A. What was the total repair and maintenance cost incurred by Whitehorse last year?
B. What was the total fixed repair and maintenance cost incurred by Whitehorse last year?
C. What was the total variable repair and maintenance cost incurred by Whitehorse last year?
D. What was the total repair and maintenance cost per machine hour last year?
E. What was the fixed repair and maintenance cost per machine hour last year?
F. What was the variable repair and maintenance cost per machine hour last year?

Question

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The Answer of Whitehorse Company manufactures ultrasound equipment. Based on past experience, Whitehorse has found that total annual repair and maintenance cost can be represented by the following formula: total annual repair and maintenance cost = $300,000 + $10.00x, where x = machine hours. Last year, Whitehorse incurred 150,000 machine hours.
Required:
A. What was the total repair and maintenance cost incurred by Whitehorse last year?
B. What was the total fixed repair and maintenance cost incurred by Whitehorse last year?
C. What was the total variable repair and maintenance cost incurred by Whitehorse last year?
D. What was the total repair and maintenance cost per machine hour last year?
E. What was the fixed repair and maintenance cost per machine hour last year?
F. What was the variable repair and maintenance cost per machine hour last year?

Whitehorse Company Manufactures Ultrasound Equipment