Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Ramort Company reports the following cost data for its single product. The company regularly sells 19,000 units of its product at a price of $58.00

image text in transcribed
image text in transcribed
image text in transcribed
Ramort Company reports the following cost data for its single product. The company regularly sells 19,000 units of its product at a price of $58.00 per unit $ S 9.80 per unit 11.80 per unit Direct materials Direct labor Overhead costs for the year Variable overhead Fixed overhead per year Selling and administrative costs for the year Variable Fixed Normal production level (in units) $ 2.80 per unit $32,400.00 $ $ 1.80 per unit 65,000 19,000 units Compute gross margin under absorption costing. (Round unit cost amounts to 2 decimal places.) Compute gross margin under absorption costing. (Round unit cost amounts to 2 decimal places.) Production volume 19,000 units 9.80 Cost of goods sold: Direct materials per unit Direct labor per unit Variable overhead per unit Fixed overhead per unit 11.80 2.80 $ Cost of goods sold per unit Number of units sold Total cost of goods sold 24.40 19,000 463,600 $ RAMORT COMPANY Income Statement (partial) Sales volume Sales Cost of goods sold Gross margin 19,000 units $ 1,102,000 (463,600) 606,100 Ramort Company reports the following cost data for its single product. The company regularly sells 24,000 units of its product at a price of $68.00 per unit Direct materials Direct labor Overhead costs for the year Variable overhead Fixed overhead per year Selling and administrative costs for the year Variable Fixed Normal production level (in units) $ 10.80 per unit $ 12.80 per unit $ 3.80 per unit $78,400 $ 2.80 per unit $ 66,000 24,000 units Compute contribution margin under variable costing. $ 1,632,000 RAMORT COMPANY Contribution margin Sales Less: Variable expenses Variable manufacuring expense Fixed overhead costs Variable selling and administrative expense Total variable expense Contribution margin $(566,400) (91,200) (67.200) (724.800) $ 907,200

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

Auditing A Business Risk Approach

Authors: Larry E. Rittenberg, Karla Johnstone, Audrey Gramling

7th Edition

0324663722, 978-0324663723

More Books

Students also viewed these Accounting questions

Question

2. What abilities are possible because humans use symbols?

Answered: 1 week ago

Question

1. How are language and thought related?

Answered: 1 week ago

Question

4. How do rules guide verbal communication?

Answered: 1 week ago