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Oak Mart, a producer of solid oak tables, reports the following data from its second year of business. Sales price per unit $ 320 per
Oak Mart, a producer of solid oak tables, reports the following data from its second year of business. |
Sales price per unit | $ | 320 | per unit |
Units produced this year | 115,000 | units | |
Units sold this year | 118,000 | units | |
Units in beginning-year inventory | 3,000 | units | |
Beginning inventory costs | |||
Variable (3,000 units $135) | $ | 405,000 | |
Fixed (3,000 units $80) | 240,000 | ||
Total | $ | 645,000 | |
Manufacturing costs this year | |||
Direct materials | $ | 40 | per unit |
Direct labor | $ | 62 | per unit |
Overhead costs this year | |||
Variable overhead | $ | 3,220,000 | |
Fixed overhead | $ | 7,400,000 | |
Selling and adminstrative costs this year | |||
Variable | $ | 1,416,000 | |
Fixed | 4,600,000 |
IThe following Information applies to the questions displayed below. Oak Mart, a producer of solid oak tables, reports the following data from its second year of business. Sales price per unit Units produced this year Units sold this year Units in beginning-year inventory Beginning inventory costs 320 per unit 15,000 units 118,000 units 3,000 units Variable (3,000 units x $135) Fixed (3,000 units x $80) $ 405,000 240,000 Total $ 645,000 Manufacturing costs this year Direct materials Direct labor Overhead costs this year 40 per unit 62 per unit Variable overhead Fixed overhead $3,220,000 $7400,000 Selling and adminstrative costs this year Variable Fixed $1,416,000 4,600,000
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