Question

In: Accounting

Selected financial data for Spark Enterprises follows for a production level of 120,000 units. Total Fixed...

Selected financial data for Spark Enterprises follows for a production level of 120,000 units.

Total Fixed Costs $300,000

Total costs (fixed and variable) $ 450,000

a. Calculate the variable cost per unit.

b. if flash corporation makes 75,000 units, calculate the fixed cost per unit.

c. if flash corporation makes 160,000 units, calculate the total variable costs.

d. if flash corporation makes 180,000 units, calculate the total costs.

Solutions

Expert Solution

a)

Total variable cost = Total costs – Total fixed costs

                              = 450000-300000

                              = 150000

Variable cost per unit = 150000/120000

                                   = 1.25 per unit

b)

Fixed cost per unit = 300000/75000

                              = 4 per unit

c)

Total variable cost = 1.25*160000

                              = 200000

d)

Total variable cost = 1.25*180000

                              = 225000

Total cost = 225000+300000

                = 525000


Related Solutions

PRODUCTION UNITS 100 END INV UNITS          20 TOTAL PRODUCTION COST 20000 EUROS TOTAL FIXED MOH              1000...
PRODUCTION UNITS 100 END INV UNITS          20 TOTAL PRODUCTION COST 20000 EUROS TOTAL FIXED MOH              1000 EUROS a. Data is missing b. Full Costing OPINC 200 EUROS higher than VC OPINC C. Full Costing OPINC =VC OPINC   d. Full Costing OPINC 200 euros lower than VC OPINC
Selected financial statement information and additional data for Johnston Enterprises is presented below: Johnston Enterprises Balance...
Selected financial statement information and additional data for Johnston Enterprises is presented below: Johnston Enterprises Balance Sheet and Income Statement Data December 31, 2017 December 31, 2016 Current Assets:       Cash $170,300 $116,400       Accounts Receivable 226,300 306,200       Inventory 396,700 342,700             Total Current Assets 793,300 765,300 Property, Plant, and Equipment 1,283,200 1,148,000 Less: Accumulated Depreciation (460,400) (429,100) Total Assets 1,616,100 1,484,200 Current Liabilities:       Accounts Payable $189,000 $100,700       Notes Payable 48,100 66,300       Income Taxes Payable 85,900 76,100 Total Current Liabilities 323,000 243,100 Bonds...
Selected financial statement information and additional data for Johnston Enterprises is presented below: Johnston Enterprises Balance...
Selected financial statement information and additional data for Johnston Enterprises is presented below: Johnston Enterprises Balance Sheet and Income Statement Data December 31, 2017 December 31, 2016 Current Assets:       Cash $153,260 $117,200       Accounts Receivable 236,100 306,600       Inventory 397,700 343,800             Total Current Assets 787,060 767,600 Property, Plant, and Equipment 1,271,200 1,136,000 Less: Accumulated Depreciation (453,900) (420,900) Total Assets 1,604,360 1,482,700 Current Liabilities:       Accounts Payable $189,800 $100,100       Notes Payable 50,100 66,500       Income Taxes Payable 84,700 75,100 Total Current Liabilities 324,600 241,700 Bonds...
Selected financial statement information and additional data for Johnston Enterprises is presented below Johnston Enterprises Balance...
Selected financial statement information and additional data for Johnston Enterprises is presented below Johnston Enterprises Balance Sheet and Income Statement Data                                                                                           December 31,      December 31,                                                                                               2017                       2016___ Current Assets: Cash                                                                        $153,000               $119,000 Accounts Receivable                                                 238,000                 306,000 Inventory                                                                    391,000                 340,000 Total Current Assets                                            782,000                 765,000 Property, Plant, and Equipment                                1,241,000              1,122,000 Less: Accumulated Depreciation                                (476,000)               (442,000) Total Assets                                                             $1,547,000            $1,445,000 Current Liabilities: Accounts Payable                                                    $187,000               $102,000 Notes Payable                                                             51,000                   68,000 Income Taxes Payable                                         ...
Selected financial statement information and additional data for Johnston Enterprises is presented below Johnston Enterprises Balance...
Selected financial statement information and additional data for Johnston Enterprises is presented below Johnston Enterprises Balance Sheet and Income Statement Data                                                                                           December 31,      December 31,                                                                                               2017                       2016___ Current Assets: Cash                                                                        $153,000               $119,000 Accounts Receivable                                                 238,000                 306,000 Inventory                                                                    391,000                 340,000 Total Current Assets                                            782,000                 765,000 Property, Plant, and Equipment                                1,241,000              1,122,000 Less: Accumulated Depreciation                                (476,000)               (442,000) Total Assets                                                             $1,547,000            $1,445,000 Current Liabilities: Accounts Payable                                                    $187,000               $102,000 Notes Payable                                                             51,000                   68,000 Income Taxes Payable                                         ...
Selected financial statement information and additional data for Johnston Enterprises is presented below. Johnston Enterprises Statement...
Selected financial statement information and additional data for Johnston Enterprises is presented below. Johnston Enterprises Statement of Financial Position and Income Statement Data                                                                                           December 31,        December 31,                                                                                               2019           2018 Property, Plant, and Equipment                           HK$1,241,000     HK$ 1,122,000 Less: Accumulated Depreciation                             (477,000)           (442,000)                                                                                   764,000            680,000 Current Assets: Inventory                                                                391,000             340,000 Accounts Receivable                                            238,000                 306,000 Cash                                                                     154,000                 119,000 Total Current Assets                                     783,000                 765,000 Total Assets                                                         HK$1,547,000      HK$1,445,000 Equity: Share Capital–Ordinary                                 HK$ 510,000        HK$...
Ball Bearings, Inc., faces costs of production as follows: QUANITY TOTAL FIXED COSTS (DOLLARS) TOTAL VARIABLE...
Ball Bearings, Inc., faces costs of production as follows: QUANITY TOTAL FIXED COSTS (DOLLARS) TOTAL VARIABLE COSTS (DOLLARS) 0 180 0 1 180 80 2 180 140 3 180 180 4 180 240 5 180 320 6 180 450 Complete the following table by calculating the company’s total cost, marginal cost, average fixed cost, average variable cost, and average total cost at each level of production. QUANITY TOTAL COST (DOLLARS) MARGINAL COST (DOLLARS) AVERAGE FIXED COST (DOLLARS) AVERAGE VARIABLE COST...
Selected financial information about Backpacking Resources, Inc., is as follows: Total assets $20,000,000 Total liabilities $8,000,000...
Selected financial information about Backpacking Resources, Inc., is as follows: Total assets $20,000,000 Total liabilities $8,000,000 Total preferred stock $3,000,000 Total annual preferred stock dividends $210,000 Net profits after tax $1,000,000 Number of shares of common stock outstanding 400,000 shares Current market price of common stock $57.00 a share Annual common stock dividends $2.28 a share Using the company's financial information, compute the following: A) Dividend yield. Round the answer to two decimal places. ________% B) Book value per share....
Selected financial information about Backpacking Resources, Inc., is as follows: Total assets $10,000,000 Total liabilities $5,000,000...
Selected financial information about Backpacking Resources, Inc., is as follows: Total assets $10,000,000 Total liabilities $5,000,000 Total preferred stock $1,000,000 Total annual preferred stock dividends $70,000 Net profits after tax $500,000 Number of shares of common stock outstanding 150,000 shares Current market price of common stock $48.00 a share Annual common stock dividends $1.44 a share Using the company's financial information, compute the following: Dividend yield. Round the answer to two decimal places. % Book value per share. Round your...
Data for Tropical Enterprises? follows: 2019 2018 2017 Total Current Assets $400,000 $300,000 $250,000 Total Current...
Data for Tropical Enterprises? follows: 2019 2018 2017 Total Current Assets $400,000 $300,000 $250,000 Total Current Liabilities 190,000 150,000 125,000 Compute the dollar amount of change and the percentage of change in Tropical ?Enterprises's working capital each year during 2019 and 2018. What do the calculated changes? indicate? Begin by selecting the formula to compute the working? capital, the dollar amount of change and the percentage of change in Tropical ?Enterprises' working capital. Working capital =__________________________________ Dollar amount of change...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT