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6 Manufacturing supplies ($5 * 30,000) Batch-level costs (6 batches at $5,000 per batch) Product-level costs Facility-level costs Total costs Cost per unit = $2,620,000
6 Manufacturing supplies ($5 * 30,000) Batch-level costs (6 batches at $5,000 per batch) Product-level costs Facility-level costs Total costs Cost per unit = $2,620,000 - 30,000 = $87.33 150,000 30,000 330,000 400,000 $ 2,620,000 Required points 02:58:18 a. OnCue has offered to buy a batch of 1,000 ice cream bars for $62 each. CIC's normal selling price is $90 per unit. Calculate the relevant cost per unit for the special order. Based on the preceding quantitative data, should CIC accept the special order? b. OnCue offered to buy a batch of 5,000 ice cream bars for $65 per unit, calculate the relevant cost per unit for the special order. Should CIC accept the special order? eBook (For all requirements, round "Cost per unit" to 2 decimal places.) a. Cost per unit Should CIC accept the special order? b. Cost per unit Should CIC accept the special order? 6 Cowboy Ice Cream Company (CIC) produces ice cream bars that it markets through a variety of grocery stores. It makes the ice cream bars in batches of 5,000 units. CIC produced 30,000 ice cream bars during the prior accounting period. The cost of producing the ice cream bars is shown below. 5 points Materials cost ($30 per unit x 30,000) Labor cost ($27 per unit * 30,000) Manufacturing supplies ($5 * 30,000) Batch-level costs (6 batches at $5,000 per batch) Product-level costs Facility-level costs Total costs Cost per unit = $2,620,00 30,000 = $87.33 $ 900,000 810,000 150,000 30,000 330,000 400,000 $ 2,620,000 8 02:58:24 eBook Required a. OnCue has offered to buy a batch of 1,000 ice cream bars for $62 each. CIC's normal selling price is $90 per unit. Calculate the relevant cost per unit for the special order. Based on the preceding quantitative data, should CIC accept the special order? b. OnCue offered to buy a batch of 5,000 ice cream bars for $65 per unit, calculate the relevant cost per unit for the special order. Should CIC accept the special order? (For all requirements, round "Cost per unit" to 2 decimal places.)
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