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Required information: SB Exercise 7-14 through Exercise 7-15 (Algo) [The following information applies to the questions displayed below] Chuck Wagon Grills, Incorporated, makes a
Required information: SB Exercise 7-14 through Exercise 7-15 (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 costa Fixed manufacturing overhead Fixed selling and administrative Total fixed costs) 20,400 19,200 1,200 $ 50 BO 201 10 $160 $ 714,000 280,000 $ 1,002,000 Exercise 7-14 (Algo) Variable Costing Unit Product Cost and Income Statement; Break-Even Analysis [L07-1, L07-2] 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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