Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Sheridan Express Co . produces wooden crates used for shipping products by ocean liner. In 2 0 2 5 . Sheridan Express incurred the following

Sheridan Express Co. produces wooden crates used for shipping products by ocean liner. In 2025. Sheridan Express incurred the following costs.
Wood used in crate production
$57,000
Nails (considered insignificant and a variable expense)
$450
Direct labor
$40,500
Utilities for the plant:
$1,500 each month,
plus $0.50 for each kilowatt-hour used each month
Rent expense for the plant for the year
$22,500
Assume Sheridan Express used an average 800 kilowatt-hours each month over the past year.
(a) What is Sheridan Express's total manufacturing cost if it uses a variable costing approach?
Total manufacturing costs
$
(b) What is Sheridan Express's total manufacturing cost if it uses an absorption costing approach?
Total manufacturing costs
$
Blossom provides emironmentally friendly lawn services for homeowners. Its operating costs are as follows.
\table[[Depreciation (stralgh-line),$1,500,per month],[Advertising,$350,per month],[Insurance,$3,610,per month],[Weed and feed materials,$20,per lawn],[Direct labor,$7,per lawn],[Fuel,$1,per lawn]]
Blossom charges $80 per treatment for the average single-family lawn For the month ended July 31,2025, the company had total sales of $9,600.
(a)
Your Answer
Correct Answer
Your answer is partially correct.
Prepare a CVP income statement for the month ended July 31,2025.
(b)
Delermive the comparys's breake even point in (1) number of lawnos serviced per month and (2) sales dollars.
(1) Break-evenpoint in lawns
(12) Break-even point indollars
image text in transcribed

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

Enterprise Compliance Risk Management An Essential Toolkit For Banks And Financial Services

Authors: Saloni Ramakrishna

1st Edition

1118550285, 978-1118550281

More Books

Students also viewed these Accounting questions

Question

What are the assumptions of a logistic regression model?

Answered: 1 week ago

Question

1. What is the difference between exempt and nonexempt jobs?pg 87

Answered: 1 week ago