[The following information applies to the questions displayed below.] Kubin Company's relevant range of production is...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
[The following information applies to the questions displayed below.] Kubin Company's relevant range of production is 21,000 to 25,000 units. When it produces and sells 23,000 units, its average costs per unit are as follows: Average Cost per Unit $ 8.10 Direct materials Direct labor $ 5.10 Variable manufacturing overhead $ 2.60 Fixed manufacturing overhead $ 6.10 Fixed selling expense $ 4.60 Fixed administrative expense $ 3.60 Sales commissions $ 2.10 Variable administrative expense $ 1.60 Required: 1. Assume the cost object is units of production: a. What is the total direct manufacturing cost incurred to make 23,000 units? b. What is the total indirect manufacturing cost incurred to make 23,000 units? 2. Assume the cost object is the Manufacturing Department and that its total output is 23,000 units. a. How much total manufacturing cost is directly traceable to the Manufacturing Department? b. How much total manufacturing cost is an indirect cost that cannot be easily traced to the Manufacturing Department? 3. Assume the cost object is the company's various sales representatives. Furthermore, assume that the company spent $82,800 of its total fixed selling expense on advertising and the remainder of the total fixed selling expense comprised the fixed portion of the company's sales representatives' compensation. a. When the company sells 23,000 units, what is the total direct selling expense that can be readily traced to individual sales representatives? b. When the company sells 23,000 units, what is the total indirect selling expense that cannot be readily traced to individual sales representatives? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 1. Assume the cost object is units of production: a. What is the total direct manufacturing cost incurred to make 23,000 units? b. What is the total indirect manufacturing cost incurred to make 23,000 units? Note: For all the requirements, round per unit values to 2 decimal places. 1a. Direct material cost per unit 1a. Direct labor cost per unit 1a. Direct manufacturing cost per unit 1a. Number of units produced and sold 1a. Total direct manufacturing cost 1b. Variable manufacturing overhead per unit 1b. Fixed manufacturing overhead per unit 1b. Indirect manufacturing cost per unit 1b. Number of units produced and sold 1b. Total indirect manufacturing cost $ 0.00 0 $ 0.00 $ 0 Required 1 Required 2 > Show less▲ [The following information applies to the questions displayed below.] Kubin Company's relevant range of production is 21,000 to 25,000 units. When it produces and sells 23,000 units, its average costs per unit are as follows: Average Cost per Unit $ 8.10 Direct materials Direct labor $ 5.10 Variable manufacturing overhead $ 2.60 Fixed manufacturing overhead $ 6.10 Fixed selling expense $ 4.60 Fixed administrative expense $ 3.60 Sales commissions $ 2.10 Variable administrative expense $ 1.60 Required: 1. Assume the cost object is units of production: a. What is the total direct manufacturing cost incurred to make 23,000 units? b. What is the total indirect manufacturing cost incurred to make 23,000 units? 2. Assume the cost object is the Manufacturing Department and that its total output is 23,000 units. a. How much total manufacturing cost is directly traceable to the Manufacturing Department? b. How much total manufacturing cost is an indirect cost that cannot be easily traced to the Manufacturing Department? 3. Assume the cost object is the company's various sales representatives. Furthermore, assume that the company spent $82,800 of its total fixed selling expense on advertising and the remainder of the total fixed selling expense comprised the fixed portion of the company's sales representatives' compensation. a. When the company sells 23,000 units, what is the total direct selling expense that can be readily traced to individual sales representatives? b. When the company sells 23,000 units, what is the total indirect selling expense that cannot be readily traced to individual sales representatives? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 1. Assume the cost object is units of production: a. What is the total direct manufacturing cost incurred to make 23,000 units? b. What is the total indirect manufacturing cost incurred to make 23,000 units? Note: For all the requirements, round per unit values to 2 decimal places. 1a. Direct material cost per unit 1a. Direct labor cost per unit 1a. Direct manufacturing cost per unit 1a. Number of units produced and sold 1a. Total direct manufacturing cost 1b. Variable manufacturing overhead per unit 1b. Fixed manufacturing overhead per unit 1b. Indirect manufacturing cost per unit 1b. Number of units produced and sold 1b. Total indirect manufacturing cost $ 0.00 0 $ 0.00 $ 0 Required 1 Required 2 > Show less▲
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
Holiday Candy Company, which recently developed a strategic plan based on total quality management, wants its candy canes to have the highest quality of color, texture, shape, and taste possible. To...
-
According to the AICPA, by what three ways can fraudulent financial reporting be accomplished?
-
Transactions that affect earnings do not necessarily affect cash. Identify the effect, if any, that each of the following transactions would have upon cash and retained earnings. The first...
-
Given the following information, formulate an inventory management system. The item is demanded 50 weeks a year. a. State the order quantity and reorder point. b. Determine the annual holding and...
-
x - 1 5 11 16 26 36. y - 39 47 73 100 150 200 (f ) 92.83 The calves you want to buy are 17 weeks old. What does the least squares line predict for a healthy weight (in kg)? (Enter a number. Round...
-
2. The number of defects found in 20 samples of 100 Frost Ice-cream Company flavors taken on a daily basis from a production line over a five-week period is given below. Sample 1 2 3 4 5 6 7 8 9 10...
-
FA II: Assignment 2 - Prepare a Cashflow Statement Rosewood College O Assume the following selected income statement and balance sheet information for Larriet Inc.: Larriet Inc. Balance Sheet...
-
Helena purchased a passenger automobile on March 2, 2022. She paid $66,000 for the automobile and can support business use of 80 percent. Calculate the amount of depreciation (half-year convention)...
-
Student Name: Section: Assignment 1: Introduction to ValuationXanadu Monetary Corp. (XMC) is a company based in the small island country of Baldavia. There has been a recent change in Baldavia's tax...
-
I wanted to know if you could do a conclusion of 2 pages based on race and incarceration in the paragraph at the bottom. Also, can you turn the conclusion into five short bullet points. After the...
-
a. In nucleotide-based alignment, one algorithm to update scores in comparing two nucleotide sequences is shown below (8 is gap penalty; vi and wj are two nucleotides being compared; u is a...
-
According to your textbook, which of the following team sizes usually leads to the best performance? None of the above 4 to 9 6 to 9 3 to 12 5 to 10
-
What factors should be considered when a small business owner decides to advertise? LO-3
-
Of the pricing techniques described in this chapter, which one do you think is most commonly used by small businesses? Why? LO-3
-
How would promotional mix decisions change for a small business that is expanding into a foreign market? LO-3
Study smarter with the SolutionInn App