Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

LIVE The Foundational 15 (Algo) [L07-1, LO7-2, L07-3, LO7-4, L07-5) (The following information applies to the questions displayed below.) Diego Company manufactures one product that

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
LIVE The Foundational 15 (Algo) [L07-1, LO7-2, L07-3, LO7-4, L07-5) (The following information applies to the questions displayed below.) Diego Company manufactures one product that is sold for $72 per unit in two geographic regions--the East and West regions. The following information pertains to the company's first year of operations in which it produced 55,000 units and 15 sold 50,000 units variable costs per unit: Manufacturing: Direct materials Direct labor Variable manufacturing over head Variable selling and administrative Fixed costs per year: Fixed manufacturing over head Fixed selling and administrative expense $ 23 $ 14 $ 3 $5 $ 770,000 $ 607,000 nes The company sold 37,000 units in the East region and 13,000 units in the West region. It determined that $290,000 of its fixed selling and administrative expense is troceable to the West region, $240,000 is traceable to the East region, and the remaining $77,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Foundational 7-6 (Algo) 6. What is the company's net operating income foss) under absorption costing? Saved er 7 Foundational 15 Diego Company manufactures one product that is sold for $72 per unit in two geographic regions-the East and West reglons. The following information pertoins to the company's first year of operations in which it produced 55,000 units and sold 50,000 units of 15 variable costs per unit: Manufacturing: Direct materials $ 23 Direct labor $ 14 Variable manufacturing over head $3 Variable selling and administrative $5 Fixed costs per year: Fixed manufacturing over head $ 770,000 Fixed selling and administrative expenso $ 607,000 The company sold 37,000 units in the East region and 13,000 units in the West region. It determined that $290,000 of its fixed selling and administrative expense is traceable to the West region, $240,000 is traceable to the East region, and the remaining $77,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Book Print Hences Foundational 7-7 (Algo) 7. What is the amount of the difference between the variable costing and absorption costing net operating incomes (losses)? Difference of Variable Costing and Absorption Costing Net Operating Income (Losses) Variable costing net operating income (loss) Absorption costing net operating income (loss) hapter 7 Foundational 15 00 8 The Foundational 15 (Algo) (L07-1, LO7-2, LO7-3, L07-4, L07-5) (The following information applies to the questions displayed below) Diego Compariy manufactures one product that is sold for $72 per unit in two geographic regions-the East and West regions. The following information pertains to the company's first year of operations in which it produced 55,000 units and sold 50,000 units Part 3 of 15 0.83 Doints Book Print variable costs per unit: Manufacturing: Direct materials $ 23 Direct labor $ 14 Variable manufacturing over head $ 3 Variable selling and administrative $ 5 Fixed costs per year: Fixed manufacturing overhead $ 770,000 Fixed selling and administrative expense $ 607,000 The company sold 37,000 units in the East region and 13,000 units in the West region. It determined that $290,000 of its fixed selling and administrative expense is traceable to the West region, $240,000 is traceable to the East region, and the remaining $77,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. References Foundational 7-8 (Algo) What is the company's break-even point in unit sales? Break oven poml units Served Chapter 7 Foundational 15 9 The Foundational 15 (Algo) (LO7-1, L07-2, L07-3, L07-4, L07-5) {The following information applies to the questions displayed below) Diego Company manufactures one product that is sold for $72 per unit in two geographic regions--the East and West regions. The following information pertains to the company's first year of operations in which it produced 55,000 units and sold 50,000 units Part 9 of 15 0.83 points Boom Variable costs per unit: Manufacturing: Direct materials $ 23 Direct labor $ 14 Variable manufacturing over head 53 Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead $ 770,000 Fixed selling and administrative expense $ 607,000 The company sold 37,000 units in the East region and 13,000 units in the West region it determined that $290,000 of its faxed selling and administrative expense is traceable to the West region, $240,000 is traceable to the East region, and the remaining $77,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. Pit Heerences Foundational 7-9 (Algo) 3. If the sales volumes in the East and West regions had been reversed, what would be the company's overall break-even point in unit Sales? Break even point units Sard Chapter 7 Foundational 150 10 The Foundational 15 (Algo) (LO7-1, L07-2, L07-3, L07-4, LO7-5) [The following information applies to the questions displayed below) Diego Company manufactures one product that is sold for $72 per unit in two geographic regions-the East and West regions. The following information pertoins to the company's first year of operations in which it produced 55,000 units and sold 50,000 units. Part 10 of 15 0.83 points variable costs per unit: Manufacturing: Direct materials $ 23 Direct labor $ 14 Variable manufacturing over head $3 Variable selling and administrativo 55 Fixed costs per year: Fixed manufacturing overhead $ 770,000 Fixed selling and administrative expense 5 607,000 The company sold 37,000 units in the East region and 13,000 units in the West region it determined that $290,000 of its fixed selling and administrative expense is traceable to the West region, $240,000 is traceable to the East region, and the remaining $77,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product Print Foundational 7-10 (Algo) 10. What would have been the company's variable costing net operating income foss) if it had produced and sold 50.000 units? You do not need to perform any calculations to answer this

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

The Major Accounting Firms Understanding The Role Of Global Auditing Giants

Authors: Seth Nashe

1st Edition

B0CGKZ5Y2Q, 979-8859081318

More Books

Students also viewed these Accounting questions

Question

What are negative messages? (Objective 1)

Answered: 1 week ago