Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information [The following information applies to the questions displayed below.] Listed here are the total costs associated with the 2017 production of 1,000 drum

image text in transcribedimage text in transcribed

Required information [The following information applies to the questions displayed below.] Listed here are the total costs associated with the 2017 production of 1,000 drum sets manufactured by TrueBeat. The drum sets sell for $428 each. Costs 1. Plastic for casing-$22,000 2. Wages of assembly workers $92,000 3. Property taxes on factory-$5,000 4. Accounting staff salaries-$37,000 5. Drum stands (1,000 stands purchased)-$35,000 6. Rent cost of equipment for sales staff-$12,000 7. Upper management salaries-$125,000 8. Annual flat fee for factory maintenance service-$12,000 9. Sales commissions-$25 per unit 10. Machinery depreciation, straight-line-$39,000 Required: 1. Classify each cost and its amount as (a) either variable or fixed and (b) either product or period. (The first cost is completed as an example.) Cost by Behavior Variable Fixed 22,000 Costs Cost by Function Product Period $ $ 22,000 1. Plastic for casing 2. Wages of assembly workers 3. Property taxes on factory 4. Accounting staff salaries 5. Drum stands 6. Rent cost of equipment for sales staff Upper management salaries 7. 8. Annual flat fee for factory maintenance service 9. Sales commissions 10. Machinery depreciation, straight-line Required information [The following information applies to the questions displayed below.) Listed here are the total costs associated with the 2017 production of 1,000 drum sets manufactured by TrueBeat. The drum sets sell for $428 each. Costs 1. Plastic for casing-$22,000 2. Wages of assembly workers-$92,000 3. Property taxes on factory-$5,000 4. Accounting staff salaries,$37,000 5. Drum stands (1,000 stands purchased)-$35,000 6. Rent cost of equipment for sales staff-$12,000 7. Upper management salaries,$125,000 8. Annual flat fee for factory maintenance service-$12,000 9. Sales commissions-$25 per unit 10. Machinery depreciation, straight-line-$39,000 2. Calculate the manufacturing cost per drum set. TrueBeat Calculation of Manufacturing Cost per Drum Set For Year Ended December 31, 2017 Item Total cost Per unit cost Variable production costs Total variable production costs Fixed production costs Total fixed production costs Total production cost

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

Communication And Auditing A Step By Step Guide

Authors: Melanie McKay, Elizabeth Rosa

1st Edition

075931652X, 978-0759316522

More Books

Students also viewed these Accounting questions

Question

2. List the advantages of listening well

Answered: 1 week ago