Question
In: Accounting
East West Company produced 204,000 watches last year and sold all of them during the last...
| East West Company produced | 204,000 | watches | last year and sold all of them during the last year. | ||||||
| The average selling price per watch was | $20.00 | ||||||||
| The average fixed manufacturing cost was | $7.00 | per unit | |||||||
| The company reported a gross margin of | $1,428,000 | in last year's income statement. | |||||||
| Company had no beginning or ending inventory for the last year. | |||||||||
| Assume that company incurred no other costs. | |||||||||
| Required: | |||||||||
| (A) Unit variable manufacturing cost during the last year | |||||||||
| (B) Total variable manufacturing cost incurred during last year | |||||||||
| (C) Total contribution margin generated during last year. | |||||||||
| Round all your final answers to two digits. | |||||||||
| Type only the number and no dollar sign or any other text in the answer box. | |||||||||
| Unit Variable manufacturing cost | $ | ||||||||
| Total Variable manufacturing cost incurred | $ | ||||||||
| Total contribution generated during last year | $ | ||||||||
Solutions
Expert Solution
Note
If you have any queries kindly post a comment, i will solve it earliest.
If you satisfied with my answer, kindly give a thumbs up, it will help to encourage me.
ekkarill92 answered 2 years agoRelated Solutions
Alard Company produces blenders and coffee makers. During the past year, the company produced and sold...
Alard Company produces blenders and coffee makers. During the
past year, the company produced and sold 65,000 blenders and 75,000
coffee makers. Fixed costs for Alard totaled $340,000, of which
$184,000 can be avoided if the blenders are not produced and
$142,500 can be avoided if the coffee makers are not produced.
Revenue and variable cost information follows:
Blenders
Coffee Makers
Selling price per appliance
$24
$29
Variable expenses per appliance
18
27
Required:
1. Prepare segmented income statements.
Separate...
CollegePak Company produced and sold 73,000 backpacks during the year just ended at an average price...
CollegePak Company produced and sold 73,000 backpacks during the
year just ended at an average price of $33 per unit. Variable
manufacturing costs were $13.50 per unit, and variable marketing
costs were $4.32 per unit sold. Fixed costs amounted to $543,000
for manufacturing and $218,400 for marketing. There was no year-end
work-in-process inventory. (Ignore income taxes.)
Required:
1. Compute CollegePak’s break-even point in sales
dollars for the year. (Do not round intermediate
calculations. Round your final answer up to the...
CollegePak Company produced and sold 72,000 backpacks during the year just ended at an average price...
CollegePak Company produced and sold 72,000 backpacks during the
year just ended at an average price of $32 per unit. Variable
manufacturing costs were $13.00 per unit, and variable marketing
costs were $4.92 per unit sold. Fixed costs amounted to $542,000
for manufacturing and $217,600 for marketing. There was no year-end
work-in-process inventory. (Ignore income taxes.)
Required:
Compute CollegePak’s break-even point in sales dollars for the
year. (Do not round intermediate calculations.
Round your final answer up to the nearest...
CollegePak Company produced and sold 88,000 backpacks during the year just ended at an average price...
CollegePak Company produced and sold 88,000 backpacks during the
year just ended at an average price of $48 per unit. Variable
manufacturing costs were $21.00 per unit, and variable marketing
costs were $4.92 per unit sold. Fixed costs amounted to $558,000
for manufacturing and $230,400 for marketing. There was no year-end
work-in-process inventory. (Ignore income taxes.)
Required: Compute CollegePak’s break-even point in sales dollars
for the year. (Do not round intermediate calculations. Round your
final answer up to the nearest...
Diego Company manufactures one product that is sold for $79 per unit in two geographic regions—the East and West regions.
Diego Company manufactures one product that is sold for $79 per unit in two geographic regions—the East and West regions. The following information pertains to the company’s first year of operations in which it produced 50,000 units and sold 45,000 units. Variable costs per unit: Manufacturing: Direct materials $ 29 Direct labor $ 16 Variable manufacturing overhead $ 2 Variable selling and administrative $ 4 Fixed costs per year: Fixed manufacturing overhead $ 800,000 Fixed selling and administrative expense $...
Diego Company manufactures one product that is sold for $74 per unit in two geographic regions—the East and West regions.
Diego Company manufactures one product that is sold for $74 per unit in two geographic regions—the East and West regions. The following information pertains to the company’s first year of operations in which it produced 45,000 units and sold 40,000 units.
Variable costs per unit:
Manufacturing:
Direct materials
$
24
Direct labor
$
18
Variable manufacturing overhead
$
3
Variable selling and administrative
$
5
Fixed costs per year:
Fixed manufacturing overhead
$...
Q6 A company produced 10,000 units in March 2018 and sold 8,500 of them. The variable...
Q6 A company produced 10,000 units in March 2018 and
sold 8,500 of them. The variable manufacturing costs per unit was
$16 and the fixed cost per unit was $3
Variable selling and administrative expenses were $5 and
the fixed selling and administrative expenses were
$45,000. (5 points each 15 points
total)
Using absorption costing what would be the income from
operations for March?
$_____________________________________________
Using variable costing what would be the income from
operations for March?
$_______________________________________________
C. Explain...
During 2021, its first year of operations, XYZ Company produced 25,000 units and sold 19,000 units....
During 2021, its first year of operations, XYZ Company produced
25,000 units and sold 19,000 units. During 2022, XYZ Company
produced 30,000 units and sold 32,000 units. The following
information was taken from XYZ's accounting records for 2021 and
2022: 2021 2022 Direct materials cost per unit ............ $18 $17
Direct labor cost per unit ................ $16 $21 Variable
overhead cost per unit ........... $7 $9 Variable selling &
admin cost per unit .... $4 $6 Fixed overhead (total cost)...
During 2021, its first year of operations, XYZ Company produced 25,000 units and sold 19,000 units....
During 2021, its first year of operations, XYZ Company produced
25,000 units and sold 19,000 units. During 2022, XYZ Company
produced 30,000 units and sold 32,000 units. The following
information was taken from XYZ's accounting records for 2021 and
2022: 2021 2022 Direct materials cost per unit ............ $18 $17
Direct labor cost per unit ................ $16 $21 Variable
overhead cost per unit ........... $7 $9 Variable selling &
admin cost per unit .... $4 $6 Fixed overhead (total cost)...
During 2021, its first year of operations, XYZ Company produced 25,000 units and sold 19,000 units....
During 2021, its first year of operations, XYZ Company produced 25,000
units and sold 19,000 units. During 2022, XYZ Company produced 30,000
units and sold 32,000 units. The following information was taken from
XYZ's accounting records for 2021 and 2022:
2021 2022
Direct materials cost per unit ............ $18 $17
Direct labor cost per unit ................ $16 $21
Variable overhead cost per unit ........... $7 $9
Variable selling & admin cost per unit .... $4 $6
Fixed overhead (total cost)...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- Your friend is looking for investors in a risky business venture. To convince you to participate,...
- Suppose you observe the following situation: State of Economy Probability of State Return if State Occurs...
- Merger Analysis TransWorld Communications Inc., a large telecommunications company, is evaluating the possible acquisition of Georgia...
- Journal Entries and Trial Balance Elite Realty acts as an agent in buying, selling, renting, and...
- In racket Assume that the elements of a list are indexed starting with 1. Write a...
- Describe System Development Life Cycle (SDLC) and how it is used.
- What symbolism do you find in the play,Oedipus?
ADVERTISEMENT