Score: 0.71 of 1 pt 1 of 1 (1 complete) HW Score: 71.07%, 0.71 of 1 % CompM4-1 (similar to) Question Help partment: The Charleston Shirt Company makes two types of T-shirts: basic and custom. A (Click the icon to view the additional information.) For the same time pe (Click the icon to Requirements Read the requiremen Total For March 2024, the Charleston Shirt Company compiled the following data for the Cutting and Sewing Departments: (Click the icon to view the Cutting data.) (Click the icon to view the Sewing data.) Job (Custom Shirts) 367 368 369 370 Total cost of basic shirts $ 1,500 $ 1,250 $ 1,000 $ 2,000 Design costs 70 0 70 70 Printing costs 180 225 300 480 Total cost of the order $ 1,750 $ 1,475 $ 1,370 $ 2,550 $ Data Table - X x More Info Amount $ 1.000 Units 200 shirts Average cost per shirt $ 5.83 $ 5.90 $ 6.85 $ Sewing Department Beginning balance, transferred in, $720; conversion costs, $280 Transferred in from Cutting 6.38 $ 8.75 $ Sales price per shirt ??? 8.85 $ 9.57 10.28 $ ??? Conversion costs added in March 1,456 Total sales revenue from the order $ 2,625 $ 2,213 $ 2,055 $ 3,825 $ ??? 1,000 shirts of the basic shirts in Finish 1. Complete a production cost report for the Cutting Department and the Sewing Department. What is the cost of one basic shirt? 2. Determine the total cost and the average cost per shirt for jobs 367, 368, 369, and 370. If the company set the sales price at 150% of the total cost, determine the total sales price of each job. 3. In addition to the custom jobs, the Charleston Shirt Company sold 1,000 basic shirts (assume the beginning balance in Finished Goods Inventory is sufficient to make these sales, and the unit cost of the basic shirts in Finished Goods Inventory is the same as the unit cost incurred this month). If the company set the sales price at 140% of the cost, determine the sales price per unit, total sales revenue, total cost of goods sold, and total gross profit for the basic shirts. 4. Calculate the total revenue, total cost of goods sold, and total gross profit for all sales, basic and custom. 5. Assume the company sold only basic shirts (no custom designs) and incurred fixed costs of $800 per month. a. Calculate the contribution margin per unit, contribution margin ratio, required sales in units to break even, and required sales in dollars to break even b. Determine the margin of safety in units and dollars c. Graph Charleston Shirt Company's CVP relationships. Show the breakeven point, the sales revenue line, the fixed cost line, the total cost line, the operating loss area, and the operating income area. d. Suppose the Charleston Shirt Company wants to earn an operating income of $1,600 per month. Compute the required sales in units and dollars to achieve this profit goal. 6. The Charleston Shirt Company is considering adding a new product line, a cloth shopping bag with custom screen printing that will be sold to grocery stores. If the current market price of cloth shopping bags is $1.80 and the company desires a net profit of 50%, what is the target cost? The company estimates the full product cost of the cloth bags will be $0.70. Should the company manufacture the cloth bags? Why or why not? Completed and transferred to Finished Goods Ending balance, 80% complete Requirement 3. In addition to the custom jobs, the Charleston Shirt Company sold 1,000 basic shirts (assume the begi goods sold, and total gross profit for the basic shirts. (Round per unit amounts to the nearest cent and all other amounts ne sa bt of ??? ??? Basic shirts are plain shirts without any screen printing on them. Custom shirts are created using the basic shirts and then adding a custom screen printing design The company buys cloth in various colors and then makes the basic shirts in two departments, Cutting and Sewing. The company uses a process costing system (weighted average method) to determine the production cost of the basic shirts. In the Cutting Department, direct materials (cloth) are added at the beginning oft of the process and conversion costs are added evenly through the process. In the Sewing Department, no direct materials are added. The only addi additional material, thread, is considered an indirect material because it cannot be easily traced to the finished product. Conversion costs are added evenly throughout the process in the Sewing Department. The finished basic shirts are sold to retail stores or are sent to the Custom Design Department for custom screen printing The Custom Design Department creates custom shirts by adding screen printing to the basic shirt. The department creates a design based on the customer's request and then prints the design using up to four colors. Because these shirts have the custom printing added, which is unique for each order, the additional cost incurred is determined using job order costing, with each custom order considered a separate job. 1,000 Basic shirts $ 7.00 Print Done Sales price per unit (per basic shirt) Total sales revenue from 1,000 basic shirts $ 7,000 $ Total cost of goods sold for 1,000 basic shirts 5,000 x Data Table $ 2.000 Total gross profit for 1,000 basic shirts Requirement 4. Calculate the total revenue, total cost of goods sold, and total gross profit for all sales, basic and custo Amount Units Basic and Custom $ 0 O shirts Total sales revenue from basic and custom sales Print Done 1,100 shirts Cutting Department Beginning balance Started in March Direct materials added in March Conversion costs Completed and transferred to Sewing Ending balance Total cost of goods sold for basic and custom sales Total gross profit from basic and custom sales 2,420 1,540 Print Done ??? 1,100 shirts Enter any number in the edit fields and then click Check Answer. 0 O shirts 13 parts Clear All remaining Print Done Score: 0.71 of 1 pt 1 of 1 (1 complete) HW Score: 71.07%, 0.71 of 1 % CompM4-1 (similar to) Question Help partment: The Charleston Shirt Company makes two types of T-shirts: basic and custom. A (Click the icon to view the additional information.) For the same time pe (Click the icon to Requirements Read the requiremen Total For March 2024, the Charleston Shirt Company compiled the following data for the Cutting and Sewing Departments: (Click the icon to view the Cutting data.) (Click the icon to view the Sewing data.) Job (Custom Shirts) 367 368 369 370 Total cost of basic shirts $ 1,500 $ 1,250 $ 1,000 $ 2,000 Design costs 70 0 70 70 Printing costs 180 225 300 480 Total cost of the order $ 1,750 $ 1,475 $ 1,370 $ 2,550 $ Data Table - X x More Info Amount $ 1.000 Units 200 shirts Average cost per shirt $ 5.83 $ 5.90 $ 6.85 $ Sewing Department Beginning balance, transferred in, $720; conversion costs, $280 Transferred in from Cutting 6.38 $ 8.75 $ Sales price per shirt ??? 8.85 $ 9.57 10.28 $ ??? Conversion costs added in March 1,456 Total sales revenue from the order $ 2,625 $ 2,213 $ 2,055 $ 3,825 $ ??? 1,000 shirts of the basic shirts in Finish 1. Complete a production cost report for the Cutting Department and the Sewing Department. What is the cost of one basic shirt? 2. Determine the total cost and the average cost per shirt for jobs 367, 368, 369, and 370. If the company set the sales price at 150% of the total cost, determine the total sales price of each job. 3. In addition to the custom jobs, the Charleston Shirt Company sold 1,000 basic shirts (assume the beginning balance in Finished Goods Inventory is sufficient to make these sales, and the unit cost of the basic shirts in Finished Goods Inventory is the same as the unit cost incurred this month). If the company set the sales price at 140% of the cost, determine the sales price per unit, total sales revenue, total cost of goods sold, and total gross profit for the basic shirts. 4. Calculate the total revenue, total cost of goods sold, and total gross profit for all sales, basic and custom. 5. Assume the company sold only basic shirts (no custom designs) and incurred fixed costs of $800 per month. a. Calculate the contribution margin per unit, contribution margin ratio, required sales in units to break even, and required sales in dollars to break even b. Determine the margin of safety in units and dollars c. Graph Charleston Shirt Company's CVP relationships. Show the breakeven point, the sales revenue line, the fixed cost line, the total cost line, the operating loss area, and the operating income area. d. Suppose the Charleston Shirt Company wants to earn an operating income of $1,600 per month. Compute the required sales in units and dollars to achieve this profit goal. 6. The Charleston Shirt Company is considering adding a new product line, a cloth shopping bag with custom screen printing that will be sold to grocery stores. If the current market price of cloth shopping bags is $1.80 and the company desires a net profit of 50%, what is the target cost? The company estimates the full product cost of the cloth bags will be $0.70. Should the company manufacture the cloth bags? Why or why not? Completed and transferred to Finished Goods Ending balance, 80% complete Requirement 3. In addition to the custom jobs, the Charleston Shirt Company sold 1,000 basic shirts (assume the begi goods sold, and total gross profit for the basic shirts. (Round per unit amounts to the nearest cent and all other amounts ne sa bt of ??? ??? Basic shirts are plain shirts without any screen printing on them. Custom shirts are created using the basic shirts and then adding a custom screen printing design The company buys cloth in various colors and then makes the basic shirts in two departments, Cutting and Sewing. The company uses a process costing system (weighted average method) to determine the production cost of the basic shirts. In the Cutting Department, direct materials (cloth) are added at the beginning oft of the process and conversion costs are added evenly through the process. In the Sewing Department, no direct materials are added. The only addi additional material, thread, is considered an indirect material because it cannot be easily traced to the finished product. Conversion costs are added evenly throughout the process in the Sewing Department. The finished basic shirts are sold to retail stores or are sent to the Custom Design Department for custom screen printing The Custom Design Department creates custom shirts by adding screen printing to the basic shirt. The department creates a design based on the customer's request and then prints the design using up to four colors. Because these shirts have the custom printing added, which is unique for each order, the additional cost incurred is determined using job order costing, with each custom order considered a separate job. 1,000 Basic shirts $ 7.00 Print Done Sales price per unit (per basic shirt) Total sales revenue from 1,000 basic shirts $ 7,000 $ Total cost of goods sold for 1,000 basic shirts 5,000 x Data Table $ 2.000 Total gross profit for 1,000 basic shirts Requirement 4. Calculate the total revenue, total cost of goods sold, and total gross profit for all sales, basic and custo Amount Units Basic and Custom $ 0 O shirts Total sales revenue from basic and custom sales Print Done 1,100 shirts Cutting Department Beginning balance Started in March Direct materials added in March Conversion costs Completed and transferred to Sewing Ending balance Total cost of goods sold for basic and custom sales Total gross profit from basic and custom sales 2,420 1,540 Print Done ??? 1,100 shirts Enter any number in the edit fields and then click Check Answer. 0 O shirts 13 parts Clear All remaining Print Done