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Harris Company manufactures and sells a single product. A partially completed schedule of the company's total and per-unit costs over the relevant range of 30,000
Harris Company manufactures and sells a single product. A partially completed schedule of the company's total and per-unit costs over the relevant range of 30,000 to 50,000 units produced and sold annually is given below: Required: 1. Complete the schedule of the company's total and unit costs. (Round the "Cost per unit" answers to 2 decimal places.) Units Produced and Sold 30,000 40,000 50,000 Total costs: Variable costs Fixed costs Total costs $ 180,000 $ 240,000 300,000 300,000 $ 480,000 $ 540,000 $ 300,000 300,000 $ 600,000 $ 6.00 $ 6.00 $ 6.00 Cost per unit: Variable costs Fixed costs Total cost per unit 10.00 7.50 13.50 6.00 12.00 $ 16.00 $ $ 2. Assume that the company produces and sells 38,000 units during a year at a selling price of $16 per unit. Prepare a contribution margin income statement for the year. HARRIS COMPANY Contribution Margin Income Statement Sales Add: Variable expense Contribution margin Add: Fixed expense Net income
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