Question
11.Babuca Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. Production
11.Babuca Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. Production volume 14,200 units 16,000 units Direct materials $921,580 $1,038,400 Direct labor $248,500 $280,000 Manufacturing overhead $1,008,200 $1,038,260 The best estimate of the total variable manufacturing cost per unit is: (Do not round intermediate calculations.)
12.Data concerning Runnells Corporation's single and sells a product. Data co cerning that product appear below: Per Unit Percent of Sales Selling price $170 100% Variable expenses 85 50% Contribution margin $ 85 50% The company is currently selling 5,400 units per month. Fixed expenses are $402,200 per month. The marketing manager believes that a $6,400 increase in the monthly advertising budget would result in a 150 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change?
13.Babuca Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. Production volume 10,500 units 12,000 units Direct materials $647,850 $740,400 Direct labor $183,750 $210,000 Manufacturing overhead $1,009,000 $1,026,850 The best estimate of the total cost to manufacture 10,900 units is closest to: (Do not round intermediate calculations.)
14.Florek Inc. produces and sells a single product. The company has provided its contribution format income statement for March. Sales (5,600 units) $ 224,000 Variable expenses 117,600 Contribution margin 106,400 Fixed expenses 86,700 Net operating income $ 19,700 If the company sells 5,800 units, its net operating income should be closest to:
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