Question
relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 4,800 units, its average costs per unit are as follows:
relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 4,800 units, its average costs per unit are as follows:
Average Cost per Unit | |||
Direct materials | $ | 6.00 | |
Direct labor | $ | 3.90 | |
Variable manufacturing overhead | $ | 1.60 | |
Fixed manufacturing overhead | $ | 4.50 | |
Fixed selling expense | $ | 0.70 | |
Fixed administrative expense | $ | 0.55 | |
Sales commissions | $ | 0.45 | |
Variable administrative expense | $ | 0.45 | |
Required:
a. For financial reporting purposes, what is the total amount of product costs incurred to make 4,800 units?
b. For financial reporting purposes, what is the total amount of period costs incurred to sell 4,800 units?
c. If 5,800 units are sold, what is the variable cost per unit sold? (Round "Per unit" answer to 2 decimal places.)
d. If 5,800 units are sold, what is the total amount of variable costs related to the units sold?
e. If 5,800 units are produced, what is the average fixed manufacturing cost per unit produced? (Round "Per unit" answer to 2 decimal places.)
f. If 5,800 units are produced, what is the total amount of fixed manufacturing cost incurred?
g. If 5,800 units are produced, what is the total amount of manufacturing overhead cost incurred? What is this total amount expressed on a per unit basis? (Round "Per unit" answer to 2 decimal places.)
relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 4,800 units, its average costs per unit are as follows:
Average Cost per Unit | |||
Direct materials | $ | 6.00 | |
Direct labor | $ | 3.90 | |
Variable manufacturing overhead | $ | 1.60 | |
Fixed manufacturing overhead | $ | 4.50 | |
Fixed selling expense | $ | 0.70 | |
Fixed administrative expense | $ | 0.55 | |
Sales commissions | $ | 0.45 | |
Variable administrative expense | $ | 0.45 | |
Required:
a. For financial reporting purposes, what is the total amount of product costs incurred to make 4,800 units?
b. For financial reporting purposes, what is the total amount of period costs incurred to sell 4,800 units?
c. If 5,800 units are sold, what is the variable cost per unit sold? (Round "Per unit" answer to 2 decimal places.)
d. If 5,800 units are sold, what is the total amount of variable costs related to the units sold?
e. If 5,800 units are produced, what is the average fixed manufacturing cost per unit produced? (Round "Per unit" answer to 2 decimal places.)
f. If 5,800 units are produced, what is the total amount of fixed manufacturing cost incurred?
g. If 5,800 units are produced, what is the total amount of manufacturing overhead cost incurred? What is this total amount expressed on a per unit basis? (Round "Per unit" answer to 2 decimal places.)
relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 4,800 units, its average costs per unit are as follows:
Average Cost per Unit | |||
Direct materials | $ | 6.00 | |
Direct labor | $ | 3.90 | |
Variable manufacturing overhead | $ | 1.60 | |
Fixed manufacturing overhead | $ | 4.50 | |
Fixed selling expense | $ | 0.70 | |
Fixed administrative expense | $ | 0.55 | |
Sales commissions | $ | 0.45 | |
Variable administrative expense | $ | 0.45 | |
Required:
a. For financial reporting purposes, what is the total amount of product costs incurred to make 4,800 units?
b. For financial reporting purposes, what is the total amount of period costs incurred to sell 4,800 units?
c. If 5,800 units are sold, what is the variable cost per unit sold? (Round "Per unit" answer to 2 decimal places.)
d. If 5,800 units are sold, what is the total amount of variable costs related to the units sold?
e. If 5,800 units are produced, what is the average fixed manufacturing cost per unit produced? (Round "Per unit" answer to 2 decimal places.)
f. If 5,800 units are produced, what is the total amount of fixed manufacturing cost incurred?
g. If 5,800 units are produced, what is the total amount of manufacturing overhead cost incurred? What is this total amount expressed on a per unit basis? (Round "Per unit" answer to 2 decimal places.)relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 4,800 units, its average costs per unit are as follows:
Average Cost per Unit | |||
Direct materials | $ | 6.00 | |
Direct labor | $ | 3.90 | |
Variable manufacturing overhead | $ | 1.60 | |
Fixed manufacturing overhead | $ | 4.50 | |
Fixed selling expense | $ | 0.70 | |
Fixed administrative expense | $ | 0.55 | |
Sales commissions | $ | 0.45 | |
Variable administrative expense | $ | 0.45 | |
Required:
a. For financial reporting purposes, what is the total amount of product costs incurred to make 4,800 units?
b. For financial reporting purposes, what is the total amount of period costs incurred to sell 4,800 units?
c. If 5,800 units are sold, what is the variable cost per unit sold? (Round "Per unit" answer to 2 decimal places.)
d. If 5,800 units are sold, what is the total amount of variable costs related to the units sold?
e. If 5,800 units are produced, what is the average fixed manufacturing cost per unit produced? (Round "Per unit" answer to 2 decimal places.)
f. If 5,800 units are produced, what is the total amount of fixed manufacturing cost incurred?
g. If 5,800 units are produced, what is the total amount of manufacturing overhead cost incurred? What is this total amount expressed on a per unit basis? (Round "Per unit" answer to 2 decimal places.)
a.) total product cost
b.) total period cost
c)variable cost per unit sold
d)total variable cost
e)average fixed manufacturing cost
f.) total fixed manufacturing overhead cost
g) total manufactring overhead cost
manufacturing overhead per unit
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