Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Lillibridge & Friends, Incorporated provides you with the following data for its single product: Sales price per unit $ 140 Fixed costs (per quarter):
Lillibridge & Friends, Incorporated provides you with the following data for its single product: Sales price per unit $ 140 Fixed costs (per quarter): Selling, general, and administrative (SG&A) 1,500,000 Manufacturing overhead 4,500,000 Variable costs (per unit): Direct labor 17 Direct materials SG&A 20 Manufacturing overhead 18 14 Number of units produced per quarter 500,000 units Required: Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a. Prime cost per unit 500,000 units $ 600,000 units 89.00 $ 87.00 b. Contribution margin per unit c. Gross margin per unit d. Conversion cost per unit e. Variable cost per unit f. Full absorption cost per unit g. Variable production cost per unit h. Full cost per unit
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started