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2. Use the amounts you computed in the Excel Template to complete items (a) through (h): a) The variable manufacturing cost per unit for this
2. Use the amounts you computed in the Excel Template to complete items (a) through (h): a) The variable manufacturing cost per unit for this product is b) The total variable cost per unit for this product is c) The total fixed manufacturing cost for this product is d) The total fixed cost for this product is e) The total manufacturing cost when 1,000 units are produced is f) The total cost when 1,000 units are produced is g) The manufacturing cost per unit when 1,000 units are produced is h) The total cost per unit when 1,000 units are produced is Answer each of the following questions. Show your computations and formulas directly under each question. 3. How many units does Windward need to sell to break even? Show the formula to compute break-even and show all your computations. 4. Assume the office manager received a call from a customer who wanted to purchase 100 units of product (no sales commission on this order). If the break-even point has already beer achieved by the sales team, what is the per-unit profit contributed by the sale of these additional 100 units? Show your computations and explain your answer. 5. Suppose a loyal customer requested to place a special order to buy 100 units at $5.50 per unit. This is a one-time only order, Windward has the capacity to fill this order, and by filling the order no other regular order will go unfilled. There is no sales commission on this special order. Assume the break-even point has already been met. a) What would be the per-unit profit or loss associated with this order? Show your computations. b) Is there an opportunity cost associated with accepting this order? Explain. c) Would you fill this order if you were the manager? Explain why or why not. 2) Complete columns L and M in the table to the right. For items categorized as variable ('V'): Enter the Excel formula to compute unit variable cost (in column L). For items categorized as fixed ( 'F'): enter the total fixed cost (in column M). For items categorized as mixed ('M'): See \#3, below, for instructions. 3) Use the High-Low method to separate mixed costs into their fixed and variable components. Use Excel formulas to compute the fixed and variable costs. You may use the High-Low Worksheet to show the computations or enter the formulas directly into the appropriate cells in the table. Note: If you use the High-Low Worksheet, enter cell references in the table to the right to 'feed' your answers answers from the worksheet. 4) Use Excel formulas to compute Total cost of 1000 units for each cost item (in column O). Use the information from columns L and M for your computations. DO NOT feed totals from the original given data table. I need to see that you know how to compute the amounts. 5) Compute the Per-Unit cost for each cost item (in column P). 2. Use the amounts you computed in the Excel Template to complete items (a) through (h): a) The variable manufacturing cost per unit for this product is b) The total variable cost per unit for this product is c) The total fixed manufacturing cost for this product is d) The total fixed cost for this product is e) The total manufacturing cost when 1,000 units are produced is f) The total cost when 1,000 units are produced is g) The manufacturing cost per unit when 1,000 units are produced is h) The total cost per unit when 1,000 units are produced is Answer each of the following questions. Show your computations and formulas directly under each question. 3. How many units does Windward need to sell to break even? Show the formula to compute break-even and show all your computations. 4. Assume the office manager received a call from a customer who wanted to purchase 100 units of product (no sales commission on this order). If the break-even point has already beer achieved by the sales team, what is the per-unit profit contributed by the sale of these additional 100 units? Show your computations and explain your answer. 5. Suppose a loyal customer requested to place a special order to buy 100 units at $5.50 per unit. This is a one-time only order, Windward has the capacity to fill this order, and by filling the order no other regular order will go unfilled. There is no sales commission on this special order. Assume the break-even point has already been met. a) What would be the per-unit profit or loss associated with this order? Show your computations. b) Is there an opportunity cost associated with accepting this order? Explain. c) Would you fill this order if you were the manager? Explain why or why not. 2) Complete columns L and M in the table to the right. For items categorized as variable ('V'): Enter the Excel formula to compute unit variable cost (in column L). For items categorized as fixed ( 'F'): enter the total fixed cost (in column M). For items categorized as mixed ('M'): See \#3, below, for instructions. 3) Use the High-Low method to separate mixed costs into their fixed and variable components. Use Excel formulas to compute the fixed and variable costs. You may use the High-Low Worksheet to show the computations or enter the formulas directly into the appropriate cells in the table. Note: If you use the High-Low Worksheet, enter cell references in the table to the right to 'feed' your answers answers from the worksheet. 4) Use Excel formulas to compute Total cost of 1000 units for each cost item (in column O). Use the information from columns L and M for your computations. DO NOT feed totals from the original given data table. I need to see that you know how to compute the amounts. 5) Compute the Per-Unit cost for each cost item (in column P)
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