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Chuck Wagon Grills, Inc., makes a single product-a handmade specialty barbecue grill that it sells for $200. Data for last year's operations follow: Units
Chuck Wagon Grills, Inc., makes a single product-a handmade specialty barbecue grill that it sells for $200. Data for last year's operations follow: Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: 9,600 8,800 800 Direct materials 80 Direct labor 20 Variable manufacturing overhead 10 Variable selling and administrative 30 $ 140 Total variable cost per unit Fixed costs: Fixed manufacturing overhead Fixed selling and administrative Total fixed costs $ 190,000 200,000 $ 390,000 Required: 1. Assume that the company uses variable costing. Compute the unit product cost for one barbecue grill. 2. Assume that the company uses variable costing. Prepare a contribution format income statement for last year. 3. What is the company's break-even point in terms of the number of barbecue grills sold? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Assume that the company uses variable costing. Prepare a contribution format income statement for last year. Chuck Wagon Grills, Inc. Variable Costing Income Statement Sales 0 0 0 $ 0 < Required 1 Required 3 > Units in beginning inventory Units produced 9,600 Units sold 8,800 Units in ending inventory 800 Variable costs per unit: Direct materials 80 Direct labor 20 Variable manufacturing overhead 10 Variable selling and administrative 30 $ 140 Total variable cost per unit Fixed costs: Fixed manufacturing overhead Fixed selling and administrative Total fixed costs $ 190,000 200,000 $ 390,000 Required: 1. Assume that the company uses variable costing. Compute the unit product cost for one barbecue grill. 2. Assume that the company uses variable costing. Prepare a contribution format income statement for last year. 3. What is the company's break-even point in terms of the number of barbecue grills sold? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the company's break-even point in terms of the number of barbecue grills sold? Break-even units point
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