Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Kubin Companys relevant range of production is 22,000 to 27,000 units. When it produces and sells 24,500 units, its average costs per unit are as

Kubin Company’s relevant range of production is 22,000 to 27,000 units. When it produces and sells 24,500 units, its average costs per unit are as follows:

  

  Average Cost per Unit
Direct materials $ 8.20
Direct labor $ 5.20
Variable manufacturing overhead $ 2.70
Fixed manufacturing overhead $ 6.20
Fixed selling expense $ 4.70
Fixed administrative expense $ 3.70
Sales commissions $ 2.20
Variable administrative expense $ 1.70

 

Required:

1. For financial accounting purposes, what is the total amount of product costs incurred to make 24,500 units?

2. For financial accounting purposes, what is the total amount of period costs incurred to sell 24,500 units?

3. For financial accounting purposes, what is the total amount of product costs incurred to make 27,000 units?

4. For financial accounting purposes, what is the total amount of period costs incurred to sell 22,000 units?

(For all requirements, do not round intermediate calculations.)

 

Step by Step Solution

3.35 Rating (155 Votes )

There are 3 Steps involved in it

Step: 1

Quiz 1 For financial accounting purposes what is the total amount of product costs incurred to make ... 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: Ray Garrison, Eric Noreen, Peter Brewer

16th edition

1259307417, 978-1260153132, 1260153134, 978-1259307416

More Books

Students also viewed these Accounting questions

Question

Explain triage in disaster situations.

Answered: 1 week ago