Question
Fletcher Adams has commenced business manufacturing fiberglass sailboards. His budgeted costs for the current month are as follows: Fiberglass And Resin $12,000 Sailcloth $3,500 Rigging
Fletcher Adams has commenced business manufacturing fiberglass sailboards.
His budgeted costs for the current month are as follows:
Fiberglass And Resin
$12,000
Sailcloth
$3,500
Rigging And Fittings
$3,000
Production Wages
$10,000
Factory Rent
$2,500
Variable Factory Overhead
$500
Depreciation - Factory Equipment
$700
General Office Rent
$3,750
General Office Salaries
$2,050
Fletcher Adams accounts for all manufacturing costs as product costs.
Required:
Calculate the following budgeted totals for the month:
Prime Cost
Period Cost
Fixed Manufacturing cost
Variable Manufacturing Cost
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