Question
IF YOU'RE NOT ABLE TO ANSWER ALL, PLEASE SKIP :) THANK YOU 1) Mussatto Corporation produces snowboards. The following per unit cost information is available:
IF YOU'RE NOT ABLE TO ANSWER ALL, PLEASE SKIP :) THANK YOU
1) Mussatto Corporation produces snowboards. The following per unit cost information is available: direct materials $10, direct labor $12, variable manufacturing overhead $7, fixed manufacturing overhead $14, variable selling and administrative expenses $6, and fixed selling and administrative expenses $8. Using a 41% markup percentage on total per-unit cost, compute the target selling price. (Round answer to 2 decimal places, e.g. 10.50.) Target Selling Price $____________
2) The Heating Division of Kobe International produces a heating element that it sells to its customers for $44 per unit. Its variable cost per unit is $27, and its fixed cost per unit is $5. Top management of Kobe International would like the Heating Division to transfer 15,000 heating units to another division within the company at a price of $27. The Heating Division is operating at full capacity. What is the minimum transfer price that the Heating Division should accept? Minimum Transfer Price $__________
3) Morales Corporation produces microwave ovens. The following per unit cost information is available: direct materials $30, direct labor $28, variable manufacturing overhead $21, fixed manufacturing overhead $38, variable selling and administrative expenses $18, and fixed selling and administrative expenses $30. Its desired ROI per unit is $31. Compute the markup percentage using absorption-cost pricing. (Round answer to 2 decimal places, e.g. 10.50%.) Markup Percentage _________%
4) Morales Corporation produces microwave ovens. The following per unit cost information is available: direct materials $39, direct labor $22, variable manufacturing overhead $17, fixed manufacturing overhead $40, variable selling and administrative expenses $15, and fixed selling and administrative expenses $29. Its desired ROI per unit is $30. Compute the markup percentage using variable-cost pricing. (Round answer to 2 decimal places, e.g. 10.50%.) Markup Percentage _______%
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