Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

i cant figure out why the bottom two questions are wrong. I am guessing that i have to somehow calculate new averages for the cost

i cant figure out why the bottom two questions are wrong. I am guessing that i have to somehow calculate new averages for the cost per unit with the new unit numbers but I cant figure out how to do that. Any help is greatly appreciated!

image text in transcribed
Kubin Company's relevant range of production is 24,000 to 31,000 units. When it produces and sells 27,500 units, its average Costs per unit are as follows: Average Cost per Unit Direct materials $ 3 . 40 Direct labor $5.40 Variable manufacturing overhead $2.90 Fixed manufacturing overhead $6.40 Fixed selling expense $4.90 Fixed administrative expense $3.90 Sales commissions $2.40 Variable administrative expense $1.90 Required: |. For financial accounting purposes, what is the total amount of product costs incurred to make 27,500 units? 2. For financial accounting purposes, what is the total amount of period costs incurred to sell 27,500 units? 3. For nancial accounting purposes, what is the total amount of product costs incurred to make 31,000 units? 4-. For nancial accounting purposes, what is the total amount of period costs incurred to sell 24,000 units? {For all requirements, do not round intermediate calculations.) 0 Answer is complete but not entirely correct. Total amount of product costs 635,250 0 Total amount of period costs incurred 360,250 0 E Total amount of product costs 716,1 00 _ Total amount of period costs 314,400 6

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Charles E. Davis, Elizabeth Davis

4th Edition

1119577667, 978-1119577669

More Books

Students also viewed these Accounting questions

Question

2. Value-oriented information and

Answered: 1 week ago

Question

1. Empirical or factual information,

Answered: 1 week ago

Question

1. To take in the necessary information,

Answered: 1 week ago