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Fantastic Furniture Ltd manufactures lounge-room sofas. It takes only bulk orders and each table is sold for $600 after negotiations. In the month of September,
Fantastic Furniture Ltd manufactures lounge-room sofas. It takes only bulk orders and each table is sold for $600 after negotiations. In the month of September, it manufactures 3,200 tables and sells 2,800 tables. Actual fixed costs are the same as the amount of fixed costs budgeted for the month. Actual quantity of production is the same as the budgeted quantity of production. The following information is provided for the month of September: Variable manufacturing costs $150 per unit Fixed manufacturing costs $95.000 per month Fixed Administrative expenses $35,000 per month At the end of the month Fantastic Furniture has an ending inventory of finished goods of 450 units. The company also incurs a sales commission of $12 per unit. Calculate total gross margin for the month of September using absorption costing (Round any intermediary calculations to the nearest cent and your final answer to the nearest dollar.) Show all workings. TT T Arial 3 (12pt) T-E-JE- MES Path:p Words:0
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