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Please help with as much as you can! Gorham, Inc., a manufacturer of plastic products, reports the following manufacturing costs Gorham, Inc.. produced 70,000 units
Please help with as much as you can!
Gorham, Inc., a manufacturer of plastic products, reports the following manufacturing costs Gorham, Inc.. produced 70,000 units of product in 2017. Gorham's management is and account analysis classification for the year ended December 31, 2017. estimating costs for 2018 on the basis of 2017 numbers. The following additional (Click the icon to see the account information.) information is available for 2018. (Click the icon to see the additional information.) Read the requirements. Requirement 1. Prepare a schedule of variable, fixed, and total manufacturing costs for each account category in 2018. Estimate total manufacturing costs for 2018. To assist you, begin by selecting the formula to calculate the variable cost for each account in 2018. 2017 2018 Variable unit 10 Total cost * Variable % of cost ) + Total units prod. )* 100% + % increase = cost in 2018 Now calculate the variable unit cost in 2018. (Round the unit cost to the nearest cent. Complete all input fields. If an account does not have a variable unit cost, enter 0.) Variable unit Account cost in 2018 0 Data Table Direct materials Direct manufacturing labor Account Classification Amount Power Direct materials All variable $ 367,500 Supervision labor Direct manufacturing labor All variable 297,500 Materials-handling labor Power All variable 87,500 Maintenance labor Supervision labor 20% variable 70.000 Materials-handling labor 60% variable 35,000 Depreciation Maintenance labor 40% variable 70,000 Rent, prop. taxes, and admin. Depreciation 0% variable 110,000 Rent, property taxes, and administration 0% variable 90,000 Print Done 0 Requirements 1. Prepare a schedule of variable, fixed, and total manufacturing costs for each account category in 2018. Estimate total manufacturing costs for 2018. 2. Calculate Gorham's total manufacturing cost per unit in 2017, and estimate total manufacturing cost per unit in 2018. 3. How can you obtain better estimates of fixed and variable costs? Why would these better estimates be useful to GorhamStep by Step Solution
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