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Complete a production cost report for the Cutting Department and the Sewing Department. What is the cost of one basic shirt? Determine the total cost
Complete a production cost report for the Cutting Department and the Sewing Department. What is the cost of one basic shirt? Determine the total cost and the average cost per shirt for jobs and If the company set the sales price at of the total cost, determine the total sales price of each job. In addition to the custom jobs, the Miami Shirt Company sold basic shirts assume the beginning balance in Finished Goods Inventory is sufficient to make these sales, and the unit cost of the basic shirts in Finished Goods Inventory is the same as the unit cost incurred this month If the company set the sales price at of the cost, determine the sales price per unit, total sales revenue, total cost of goods sold, and total gross profit for the basic shirts. Calculate the total revenue, total cost of goods sold, and total gross profit for all sales, basic and custom. Assume the company sold only basic shirts no custom designs and incurred fixed costs of $ per month. a Calculate the contribution margin per unit, contribution margin ratio, required sales in units to break even, and required sales in dollars to break even. b Determine the margin of safety in units and dollars. c Granh Miami Shirt Comnanv's CVP relatinnshins Shnw the Assume the company sold only basic shirts no custom designs and incurred fixed costs of $ per month. a Calculate the contribution margin per unit, contribution margin ratio, required sales in units to break even, and required sales in dollars to break even. b Determine the margin of safety in units and dollars. c Graph Miami Shirt Company's CVPP relationships. Show the breakeven point, the sales revenue line, the fixed cost line, the total cost line, the operating loss area, and the operating income area. d Suppose the Miami Shirt Company wants to earn an operating income of $ per month. Compute the required sales in units and dollars to achieve this profit goal. The Miami Shirt Company is considering adding a new product line, a cloth shopping bag with custom screen printing that will be sold to grocery stores. If the current market price of cloth shopping bags is $ and the company desires a net profit of what is the target cost? The company estimates the full product cost of the cloth bags will be $ Should the company manufacture the cloth bags? Why or why not? y makes two types of Ishits: basic and custom. Design Department: the additional information. mi Shirt Company compiled the follov w the Cutting data. w the Sewing data. Data table tableCutting Department,Amount,Units,Beginning balance,$ shirtsStarted in March,, shirts,Direct materials added in March,Conversion costs,Completed and transferred to Sewing,???, shirts,Ending balance, shirts, process Done Units Trans int and all other amounts to the nearest Data table tableJobQuantity,Design Fee,Printing,StatusYes, colors,CompleteNo colors,CompleteYes, colors,CompleteYes, colors,Complete The Miami Shirt Company has previously determined that creating and programming the design cost $ per design. This is a onetime charge. If a customer places another order with the same design, the customer is not charged a second time. Additionally, the cost to print is $ per color per shirt. Print Done Basic shirts are plain shirts without any screen printing on them. Custom shirts are created using the basic shirts and then adding a custom screen printing design. The company buys cloth in various colors and then makes the basic shirts in two departments, Cutting and Sewing. The company uses a process costing system weightedaverage method to determine the production cost of the basic shirts. In the Cutting Department, direct materials cloth are added at the beginning of the process and conversion costs are added evenly through the process. In the Sewing Department, no direct materials are added. The only additional material, thread, is considered an indirect material because it cannot be easily traced to the finished product. Conversion costs are added evenly throughout the process in the Sewing Department. The finished basic shirts are sold to retail stores or are sent to the Custom Design Department for custom screen printing. The Custom Design Department creates custom shirts by adding screen printing to the basic shirt. The department creates a design based on the customer's request and then prints the design using up to four colors. Because these
Complete a production cost report for the Cutting Department and the Sewing Department. What is the cost of one basic shirt?
Determine the total cost and the average cost per shirt for jobs and If the company set the sales price at of the total cost, determine the total sales price of each job.
In addition to the custom jobs, the Miami Shirt Company sold basic shirts assume the beginning balance in Finished Goods Inventory is sufficient to make these sales, and the unit cost of the basic shirts in Finished Goods Inventory is the same as the unit cost incurred this month If the company set the sales price at of the cost, determine the sales price per unit, total sales revenue, total cost of goods sold, and total gross profit for the basic shirts.
Calculate the total revenue, total cost of goods sold, and total gross profit for all sales, basic and custom.
Assume the company sold only basic shirts no custom designs and incurred fixed costs of $ per month.
a Calculate the contribution margin per unit, contribution margin ratio, required sales in units to break even, and required sales in dollars to break even.
b Determine the margin of safety in units and dollars.
c Granh Miami Shirt Comnanv's CVP relatinnshins Shnw the
Assume the company sold only basic shirts no custom designs and incurred fixed costs of $ per month.
a Calculate the contribution margin per unit, contribution margin ratio, required sales in units to break even, and required sales in dollars to break even.
b Determine the margin of safety in units and dollars.
c Graph Miami Shirt Company's CVPP relationships. Show the breakeven point, the sales revenue line, the fixed cost line, the total cost line, the operating loss area, and the operating income area.
d Suppose the Miami Shirt Company wants to earn an operating income of $ per month. Compute the required sales in units and dollars to achieve this profit goal.
The Miami Shirt Company is considering adding a new product line, a cloth shopping bag with custom screen printing that will be sold to grocery stores. If the current market price of cloth shopping bags is $ and the company desires a net profit of what is the target cost? The company estimates the full product cost of the cloth bags will be $ Should the company manufacture the cloth bags? Why or why not?
y makes two types of Ishits: basic and custom. Design Department:
the additional information.
mi Shirt Company compiled the follov
w the Cutting data.
w the Sewing data.
Data table
tableCutting Department,Amount,Units,Beginning balance,$ shirtsStarted in March,, shirts,Direct materials added in March,Conversion costs,Completed and transferred to Sewing,???, shirts,Ending balance, shirts,
process
Done
Units
Trans
int and all other amounts to the nearest
Data table
tableJobQuantity,Design Fee,Printing,StatusYes, colors,CompleteNo colors,CompleteYes, colors,CompleteYes, colors,Complete
The Miami Shirt Company has previously determined that creating and programming the design cost $ per design. This is a onetime charge. If a customer places another order with the same design, the customer is not charged a second time. Additionally, the cost to print is $ per color per shirt.
Print
Done
Basic shirts are plain shirts without any screen printing on them. Custom shirts are created using the basic shirts and then adding a custom screen printing design.
The company buys cloth in various colors and then makes the basic shirts in two departments, Cutting and Sewing. The company uses a process costing system weightedaverage method to determine the production cost of the basic shirts. In the Cutting Department, direct materials cloth are added at the beginning of the process and conversion costs are added evenly through the process. In the Sewing Department, no direct materials are added. The only additional material, thread, is considered an indirect material because it cannot be easily traced to the finished product. Conversion costs are added evenly throughout the process in the Sewing Department. The finished basic shirts are sold to retail stores or are sent to the Custom Design Department for custom screen printing.
The Custom Design Department creates custom shirts by adding screen printing to the basic shirt. The department creates a design based on the customer's request and then prints the design using up to four colors. Because these
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