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Zachary Company makes fine jewelry that it sells to department stores throughout the United States. Zachary is trying to decide which of the two bracelets
Zachary Company makes fine jewelry that it sells to department stores throughout the United States. Zachary is trying to decide which of the two bracelets to manufacture. Cost data pertaining to the two choices follow. Cost of materials per unit Cost of labor per unit Advertising cost per year Annual depreciation on existing equipment Bracelet A $ 44 40 8,500 5,400 Bracelet B $ 44 40 6,300 6,000 Required a. Identify the fixed costs and determine the amount of fixed cost for each product. b. Identify the variable costs and determine the amount of variable cost per unit for each product. c. Identify the avoidable costs and determine the amount of avoidable cost for each product. Complete this question by entering your answers in the tabs below. Required A Required B Required C Identify the fixed costs and determine the amount of fixed cost for each product. Fixed Costs Bracelet A Bracelet B Total fixed costs Required A Required B Required C Identify the variable costs and determine the amount of variable cost per unit for each product. Variable Costs Bracelet A Bracelet B Total variable costs per unit Required A Required B Required c Identify the avoidable costs and determine the amount of avoidable cost for each product. Avoidable Costs Bracelet A Bracelet B
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