Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ject Saved Help Save &Exit Submit Check my work Saxbury Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and

image text in transcribed
image text in transcribed
ject Saved Help Save &Exit Submit Check my work Saxbury Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 4,000 units, its average costs per unit are as follows: Average Cost per Unit s 6.90 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense $1.60 4.00 $0.75 $0.60 0.50 $ 0.50 Required: a. For financial reporting purposes, what is the total amount of product costs incurred to make 4,000 units? b. For financial reporting purposes, what is the total amount of period costs incurred to sell 4,000 units? c. If 5,000 units are sold, what is the variable cost per unit sold? (Round "Per unit" answer to 2 decimal places.) d. If 5,000 units are sold, what is the total amount of variable costs related to the units sold? e. If 5,000 units are produced, what is the average fixed manufacturing cost per unit produced? (Round "Per unit" answer to 2 decimal places.) If 5,000 units are produced, what is the total amount of fixed manufacturing cost incurred? g. If 5,000 units are produced, what is the total amount of manufacturing overhead cost incurred? What is this total amount expressed on a per unit basis? (Round "Per unit" answer to 2 decimal places h. If the selling price is $24.30 per unit, what is the contribution margin per unit sold? (Round "Per unit" answer to 2 decimal places.) i. If 3,000 units are produced, what is the total amount of direct manufacturing cost incurred? Check my work j If 3,000 units are produced, what is the total amount of indirect manufacturing cost incurred? k. What incremental manufacturing cost will the company incur if it increases production from 4,000 to 4,001 units? (Round Per unit" answer to 2 decimal places.) a. Total product cost b. Total period cost c. Variable cost per unit sold d. Total variable costs e. Average fixed manufacturing cost per unit . Total fixed manufacturing overhead cost g. Total manufacturing overhead cost Manufacturing overhead per unit h. Contribution margin per unit . Total direct manufacturing cost Total indirect manufacturing cost Incremental manufacturing cost

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

Management Systems Audit Risk Mitigation

Authors: Mr Indulis L Svikis

1st Edition

B084DGQJJ5, 979-8607031909

More Books

Students also viewed these Accounting questions

Question

whats an example of a identifier in python

Answered: 1 week ago