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I need help with part C, the answer is NOT 7464.60 or 5920.20 Jason Allen owns a catering company that prepares banquets and parties for
I need help with part C, the answer is NOT 7464.60 or 5920.20
Jason Allen owns a catering company that prepares banquets and parties for individual and corporate functions throughout the year. Allen's business is seasonal, with a heavy schedule during the summer and on year-end holidays and a light schedule the rest of the year. Fixed operating costs are incurred evenly throughout the year. One of Allen's most requested functions is a cocktail party. Jason has developed the following costs per person for a standard cocktail party: Food and beverages Direct labor Variable overhead Fixed overhead $15.00 $4.00 $4.00 $6.00 (a) Your answer is correct. Based on absorption costing, what is Allen's cost per person?Based on variable costing, what is his cost per person? (Round answers to 2 decimal places, e.g. 15.25.) Absorption Costing Variable Costing Cost per person $ 29.00 $ 23.00 eTextbook and Media Attempts: 1 of 3 used (b) Your answer is correct. Allen prices his cocktail parties by adding a 17% markup to his costs. What price will Allen charge per person if he uses absorption costing? If he uses variable costing? (Round answers to 2 decimal places, e.g. 15.25.) Absorption Costing Variable Costing Cost per person 33.93 $ 26.91 e Textbook and Media Attempts: 1 of 3 used (c1) x Your answer is incorrect. Allen has been asked to bid on a 220-person cocktail party to be given next month. What is the minimum price he should bid for the party? Minimum price Allen should bid for the party $ 5920.20 e Textbook and MediaStep by Step Solution
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