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I need of help understanding the formulas to answer these problems! Russell Inc had sales of $2,200,000 for the first quarter of 2020. In making
I need of help understanding the formulas to answer these problems!
Russell Inc had sales of $2,200,000 for the first quarter of 2020. In making the sales, the company incurred the following costs and expenses. Cost of goods sold Selling expenses Administrative expenses Variable $920,000 70,000 86,000 Fixed $440,000 45,000 98,000 Prepare a CVP income statement for the quarter ended March 31, 2020. RUSSELL INC. CVP Income Statement $ TA Bonita Company manufactures a single product. Annual production costs incurred in the manufacturing process are shown below for two levels of production. Production in Units Production Costs Direct materials Direct labor Utilities Rent Maintenance Supervisory salaries Costs Incurred 5,000 10,000 Total Cost Cost/Unit Total Cost Cost/Unit $8,000 $1.60 $ 16,000 $1.60 9,500 1.90 19,000 1.90 2,000 0.40 3,300 0.33 4,000 0.80 4,000 0.40 800 0.16 1,400 0.14 1,000 0.20 1.000 0.10 (b) Classify each cost above as either variable, fixed, or mixed. Production Costs Direct materials Direct labor Utilities Rent Maintenance Supervisory salariesStep by Step Solution
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