Dilithium Batteries is a division of Enterprise Corporation. The division manufactures and sells a long-life battery used
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Dilithium Batteries is a division of Enterprise Corporation. The division manufactures and sells a long-life battery used in a wide variety of applications. During the coming year, it expects to sell 60,000 units for $30 per unit. Nyota Uthura is the division manager. She is considering producing either 60,000 or 90,000 units during the period. Other information is presented in the schedule.
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Division Information for 2022 Beginning inventory Expected sales in units Selling price per unit Variable manufacturing costs per unit Fixed manufacturing overhead costs (total) Fixed manufacturing overhead costs per unit: Based on 60,000 units Based on 90,000 units Manufacturing costs per unit: Based on 60,000 units Based on 90,000 units Variable selling and administrative expenses Fixed selling and administrative expenses (total) 0 60,000 $30 $12 $540,000 $9 per unit ($540,000 ÷ 60,000) $6 per unit ($540,000 ÷ 90,000) $21 per unit ($12 variable + $9 fixed) $18 per unit ($12 variable + $6 fixed) $2 $50,000
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Related Book For
Managerial Accounting Tools For Business Decision Making
ISBN: 9781119754053
9th Edition
Authors: Jerry J Weygandt, Paul D Kimmel, Jill E Mitchell
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