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! Required information SB Exercise 6-14 through Exercise 6-15 (Algo) [The following information applies to the questions displayed below.] Chuck Wagon Grills, Incorporated, makes
! Required information SB Exercise 6-14 through Exercise 6-15 (Algo) [The following information applies to the questions displayed below.] Chuck Wagon Grills, Incorporated, makes a single product-a handmade specialty barbecue grill that it sells for $210. Data for last year's operations follow: Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Total variable cost per unit Fixed costs: Fixed manufacturing overhead Fixed selling and administrative Total fixed costs 0 27,600 22,800 4,800 $ 50 80 20 10 $ 160 $ 966,000 342,000 $ 1,308,000 Exercise 6-14 (Algo) Variable Costing Unit Product Cost and Income Statement; Break-Even Analysis [LO6-1, LO6-2] Required: 1. Assume that the company uses variable costing. Compute the unit product cost for one barbecue grill. 2. Assume that the company uses variable costing. Prepare a contribution format income statement for last year. 3. What is the company's break-even point in terms of the number of barbecue grills sold?
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