Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information Cost Classifications (Algo) [The following information applies to the questions displayed below.] Kubin Company's relevant range of production is 10,000 to 12,000 units.

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Required information Cost Classifications (Algo) [The following information applies to the questions displayed below.] Kubin Company's relevant range of production is 10,000 to 12,000 units. When it produces and sells 11,000 units, its average costs per unit are as follows: Exercise 1-10 (Algo) Differential Costs and Sunk Costs [LO1-5] Required: 1. What is the incremental manufacturing cost incurred if the company increases production from 11,000 to 11,001 units? 2. What is the incremental cost incurred if the company increases production and sales from 11,000 to 11,001 units? Required: 1. What is the incremental manufacturing cost incurred if the company increases production from 11,000 to 11,001 units? 2. What is the incremental cost incurred if the company increases production and sales from 11,000 to 11,001 units? 3. Assume that Kubin Company produced 11,000 units and expects to sell 10,790 of them. If a new customer unexpectedly emerges and expresses interest in buying the 210 extra units that have been produced by the company and that would otherwise remain unsold, what is the incremental manufacturing cost per unit incurred to sell these units to the customer? 4. Assume that Kubin Company produced 11,000 units and expects to sell 10,790 of them. If a new customer unexpectedly emerges and expresses interest in buying the 210 extra units that have been produced by the company and that would otherwise remain unsold, what incremental selling and administrative cost per unit is incurred to sell these units to the customer? Complete this question by entering your answers in the tabs below. What is the incremental manufacturing cost incurred if the company increases production from 11,000 to (Round your answer to 2 decimal places.) 1. What is the incremental manufacturing cost incurred if the company increases production from 11,000 to 11,001 units? 2. What is the incremental cost incurred if the company increases production and sales from 11,000 to 11,001 units? 3. Assume that Kubin Company produced 11,000 units and expects to sell 10,790 of them. If a new customer unexpectedly emerges and expresses interest in buying the 210 extra units that have been produced by the company and that would otherwise remain unsold, what is the incremental manufacturing cost per unit incurred to sell these units to the customer? 4. Assume that Kubin Company produced 11,000 units and expects to sell 10,790 of them. If a new customer unexpectedly emerges and expresses interest in buying the 210 extra units that have been produced by the company and that would otherwise remain unsold, what incremental selling and administrative cost per unit is incurred to sell these units to the customer? Complete this question by entering your answers in the tabs below. What is the incremental cost incurred if the company increases production and sales from 11,000 to 11,00 your answer to 2 decimal places.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Students also viewed these Accounting questions