Stone Company, a maker of computers, incurred the following costs during the year: Required: Classify each cost as either fixed or variable cost. 1. Salary of the factory's supervisor 2. Materials needed to assemble the computers 3. Wages paid to an assembly line worker 4. Straight-line depreciation on the factory 5. Utility bill for the factory 6. Grease used to lubricate the machine 7. Rent paid for the factory 8. Property taxes on the factory and corporate office 9. Boxes used to package the completed computers 10. Advertising in a newspaper monthly The Bayou Company makes crab pots. During the current month, direct materials costing $126,000 were put into production Direct labor of $75,000 was incurred, and manufacturing overhead equaled $84,000. Selling and administrative expenses totaled $66,000 for the month, and the company manufactured 3,000 crab pots. Assume there was no beginning inventory and that 2,800 crab pots were sold. Required: A. Compute the per-unit product cost B. Compute the per-unit prime cost c. Compute the per-unit conversion cont D. What is cost of goods sold for the month? E. What is the cost of ending finished goods inventory for the month? The variable-costing income statement for Wyoming Company for last year is as follows: Sales (50,000 units) $15,000,000 Variable expenses: Cost of goods sold $3,000,000 Selling (10% of sales) 1,500,000 4,500,000 Contribution margin $10,500,000 Fixed expenses: Manufacturing overhead $2,200,000 Administrative 500,000 2,700,000 K Operating income $7,800,000 Selected data for last year concerning the operations of the company are as follows: Beginning inventory -0-units Units produced 55,000 units Manufacturing costs: Direct labor $35.00 per unit Direct materials 15.00 per unit Variable overhead 10.00 per unit Required: Prepare an absorption-costing income statement for last year. Wyoming Company The variable-costing income statement for Jackson Company for last year is as follows: Sales (5,000 units) $100,000 Variable expenses: Cost of goods sold $30,000 Selling (10% of sales) 10,000 40,000 Contribution margin $60,000 Fixed expenses: Manufacturing overhead $24,000 Administrative 14,400 38,400 Operating income $21,600 Selected data for last year concerning the operations of the company are as follows: Beginning inventory -0-units Units produced 8,000 units Manufacturing costs: Direct labor $3.00 per unit Direct materials 1.60 per unit Variable overhead 1.40 per unit Required: Prepare an absorption-costing income statement for last year. During the most recent year, Boston Corp. had the following data: Beginning inventory in units Units produced 15,400 Units sold ($125 per unit) 8,200 Variable costs per unit: Direct materials $13 Direct labor $16 Variabletoverhead $8 Fixed costs: Fixed overhead per unit produced $23 Fixed selling and administrative $185,000 Required
