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Splish Brothers Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers. and the company has enough
Splish Brothers Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers. and the company has enough orders to keep the factory production at 10,000 helmets per month (80% of its full capacity). Splish Brothers's monthly manufacturing costs and other expense data are as follows. Rent on factory equipment Insurance on factory building $11,000 2,060 Raw materials used (plastics, polystyrene, etc) 84,100 Utility costs for factory 960 Supplies used for general office 350 Wages for assembly-line workers 59,300 Depreciation on office equipment 900 Miscellaneous materials used (glue, thread, etc.) 1,270 Factory manager's salary 6,300 Property taxes on factory building 440 Advertising for helmets 14,600 Sales commissions 10,670 Depreciation on factory building 1,670 Enter each cost item on your answer sheet, placing the dollar amount under the appropriate headings. Total the dollar amounts in each of the columns. Product Costs Direct Direct Cost Item Materials Labor Rent on factory equipment S $ Insurance on factory building Raw materials used (plastics, polystyrene, etc.) Utility costs for factory Supplies for general office Wages for assembly-line workers Depreciation on office equipment Miscellaneous materials used (glue, thread, etc.) Factory manager's salary Property taxes on factory building Advertising for helmets Sales commissions Depreciation on factory building $ $ $ Enter each cost item on your answer sheet, placing the dollar amount under the appropriate headings. Total the dollar amounts in each of the columns. $ Direct Materials eTextbook and Media Product Costs Direct Manufacturing Labor Overhead S S $ $ $ Period Costs Compute the cost to produce one helmet. (Round answer to 2 decimal places, eg. 15.25.) Production cost per helmet $
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