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A shoe factory produces the following product: No.41 dress shoe for men and in the month of July 2020 it produces 500 pairs Items needed

 A shoe factory produces the following product: No.41 dress shoe for men and in the month of July 2020 it produces 500 pairs

Items needed for production:

125 mutton leathers at $ 3000 each

1,000 soles at $ 300 each

1,000 shoelaces at $ 10 each

$ 100 glue

The elaboration of the 500 pairs is paid per unit of work at $ 500 c / pair.

The time to carry out the work is 30 days.

For the development of the production, a cost accountant is needed which earns a monthly salary of $ 200,000 and a production supervisor with a monthly salary of $ 250,000.

The depreciation of machinery and equipment annually is $ 36,000

$ 5,000 electric, water and phone bills are paid from the factory

Selling expenses $ 30,000

Administration expenses $ 20,000

Financial costs $ 5,500

The sale price is established based on the total cost considering a percentage of 60%

The company sells 450 pairs of shoes per month. Please calculate the following:

a) Prime costs.

b) Conversion costs.

c) Production Costs.

d) Unit Production Costs

e) Unit Sale Price.

f) Total Income.

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