Question
La Femme Accessories Inc. produces women's handbags. The cost of producing 1,220 handbags is as follows: Direct materials $15,100 Direct labor 7,300 Factory overhead 6,500
La Femme Accessories Inc. produces women's handbags. The cost of producing 1,220 handbags is as follows:
Direct materials | $15,100 |
Direct labor | 7,300 |
Factory overhead | 6,500 |
Total manufacturing cost | $28,900 |
The selling and administrative expenses are $28,400. The management wants a profit equal to 17% of invested assets of $498,000.
If required, round your answers to nearest whole number.
a. Determine the amount of desired profit from the production and sale of 1,220 handbags. If required, round your answers to nearest whole number. $fill in the blank 1
b. Determine the product cost per unit for the production of 1,220 handbags. $fill in the blank 2per unit
c. Determine the product cost markup percentage for handbags. fill in the blank 3 %
d. Determine the selling price of handbags. Round your answers to nearest whole value.
Cost | $fill in the blank 4 | per unit |
Markup | fill in the blank 5 | per unit |
Selling price | $fill in the blank 6 | per unit |
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