Requirements 1. Calculate the cost of Goods Manufactured Use the following amounts direct materials used ($26,000), direct labor ($12,000), manufacturing overhead ($19,000), beginning work in process inventory ($3,000), and ending work in process inventory ($9,000). 2. Hampton Auto spent $660 million in total to produce 60,000 cars this year. The $660 million breaks down as follows The company spent $60 million on fixed costs to run its manufacturing plants and $10,000 of variable costs to produce each car Next year, it plans to produce 70,000 cars using the existing production facilities. Read the requirements related to Hampton Auto Requirement 1. Calculate the cost of Goods Manufactured Use the following amounts direct matenals used ($26,000). direct labor ($12,000), manufacturing overhead ($19,000), beginning work in process inventory ($3 000), and ending work in process inventory ($9.000) Calculation of Cost of Goods Manufactured Beginning raw materials inventory Plus Manufacturing costs incurred Less Cost of goods manufactured (CGM) Requirement 2a. What is the current average product cost per car this year? Requirements 1. Calculate the cost of Goods Manufactured Use the following amounts direct mata used ($20.000) direct labor($12.0001, manufacturing overhead (510.000 beginning work proces inventory ($3,000), and ending work in process inventory (50,000) 2. Hampton Auto spent 5000 milion in total to produce 10.000 cars this year. The $10 million breaks down as follows the company spent 500 million on bed costs to its nating plants and $10,000 of variable costs to produce each Next year it plans to produce 70,000 cars wing the existing production facilities Road the resultamusta redates to amplon Auto Requirement 2a. What is the current average productos per car this year? Datumine the formula then calculate the current average product cost per unit (Enter your answer to the contest door Current average product cost mon cars per CW Requirement 2b. Assuming there is no change in fixed costs or variable costs per un what is the total forecasted cost to produce you cannot year? Determine the formula then calculate the total forecasted costs Total forecasted costs milan million milion Requirement 2c. What is the forecasted average product cost per car next year Determine the formula then calculate the forecasted average product cost per unit (Round your answer to the nearest whole dow) Forecasted average product cost milion Cars per car 11 Requirement 2d. Why does the average product cost per car vary between years? a. What is the current average product cost per car this year? b. Assuming there is no change in fixed costs or variable costs per unit, what is the total forecasted cost to produce 70,000 cars next year? c. What is the forecasted average product cost per car next year? d. Why does the average product cost per car vary between years? Requirement 2d. Why does the average product cost per car vary between years? because Hampton Auto wiltre bed costs to produce cars neat year Hampton Auto will be using its resources The average product cost per cat Vyso the average cost per unit will
