Hi guys,
Can you help me to solve the question below. All of them are related, just the numbers are different. Total of 4 questions.
Diego Company manufactures one product that is sold for $71 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 54,000 units and sold 49,000 units. The company sold 36,000 units in the East region and 13,000 units in the West region. It determined that $280,000 of its fixed selling and administrative expenses is traceable to the West region, $230,000 is traceable to the East region, and the remaining $76,000 is a common fixed cost. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Required: What is the unit product cost under variable costing? Unit product cost $ Diego Company manufactures one product that is sold for $72 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 55,000 units and sold 50,000 units. The company sold 37,000 units in the East region and 13,000 units in the West region. It determined that $290,000 of its fixed selling and administrative expenses is traceable to the West region, $240,000 is traceable to the East region, and the remaining $77,000 is a common fixed cost. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Required: What is the unit product cost under absorption costing? Unit product cost $ Diego Company manufactures one product that is sold for $72 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 55,000 units and sold 50,000 units. The company sold 37,000 units in the East region and 13,000 units in the West region. It determined that $290,000 of its fixed selling and administrative expenses is traceable to the West region, $240,000 is traceable to the East region, and the remaining $77,000 is a common fixed cost. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Required: What is the company's total contribution margin under variable costing? Total Contribution margin $ Diego Company manufactures one product that is sold for $74 per unit in two geographic regions - the East and West regions. The following information pertains to the company's first year of operations in which it produced 45,000 units and sold 40,000 units. The company sold 30,000 units in the East region and 10,000 units in the West region. It determined that $190,000 of its fixed selling and administrative expenses is traceable to the West region, $140,000 is traceable to the East region, and the remaining $93,000 is a common fixed cost. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Required: What is the company's total gross margin under absorption costing? Total gross margin $
