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6-9 Question 6: A company expects to sell 500 units in May, and expects the number of units sold to increase by 100 each month

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Question 6: A company expects to sell 500 units in May, and expects the number of units sold to increase by 100 each month for the following 10 months. The company always plans to have 60% of next month's sales on hand at the end of the prior month. How many units should the company plan to purchase in August? Question 7: Fixed costs are $75,000. For regular units, variable costs are $15 per unit and the sales price is $37 per unit. For deluxe units, variable costs are $24 per unit and the sales price is $50 per unit. The company sells eight regular units for every deluxe units. With this product mix, how many total units need to be sold to earn a profit of $275,000? Question 8: A company planned to spend $10,000 on labor to make 500 units and budgeted a wage rate of $10 per hour. The company actually spent $12,000 to pay for 1,260 hours to make 600 units. The company planned to spend $2 per pound and use 5 pounds per unit, but actually spent $3 per pound and used 4 pounds per unit. The company budgeted $100,000 in overhead, but actually incurred $110,000 in overhead. Overhead is allocated based on direct labor hours. What is the total standard cost per unit? Question 9: Beginning inventory is zero. Fixed manufacturing overhead costs are $51,000. Direct materials are $10 per unit. Direct labor is $15 per unit. Variable manufacturing overhead is $15,000 in total. The company makes 3,000 units. Non- manufacturing costs are $4,000 fixed and a $2 per unit sales commission. The sales price is $80 per unit. The company sells 2,800 units. What is the cost of ending inventory under Absorption Costing

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