Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Larcker Manufacturing's cost accountant has provided you with the following information for January operations: Direct materials $ 33 per unit Fixed manufacturing overhead costs $

Larcker Manufacturing's cost accountant has provided you with the following information for January operations:

Direct materials $ 33 per unit
Fixed manufacturing overhead costs $ 215,000
Sales price $ 200 per unit
Variable manufacturing overhead $ 20 per unit
Direct labor $ 27 per unit
Fixed marketing and administrative costs $ 190,000
Units produced and sold 6,000
Variable marketing and administrative costs $ 9 per unit

Required:

a. Determine the variable cost per unit.

b. Determine the variable manufacturing cost per unit.

c. Determine the full absorption cost per unit. (Round your answer to 2 decimal places.)

d. Determine the full cost per unit. (Round your answer to 2 decimal places.)

e. Determine the profit margin per unit. (Round intermediate calculations and final answer to 2 decimal places.)

f. Determine the gross margin per unit. (Round intermediate calculations and final answer to 2 decimal places.)

g. Determine the contribution margin per unit.

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

Learning Sage 50 Accounting A Modular Approach

Authors: Harvey Freedman, Carol Smith

14th Edition

0176530894, 9780176530891

More Books

Students also viewed these Accounting questions