A company shipped 6,000,000 pounds of goods to customers at a cost of $3,000,000. Total revenue...

A company shipped 6,000,000 pounds of goods to customers at a cost of $3,000,000. Total revenue is $40 million. If an individual customer orders 10,000 pounds, calculate the amount of shipping cost assigned to the customer using activity-based costing.

Solutions

Expert Solution

Shipping cost per pound	0.50	=3000000/6000000

Pounds ordered	10000
X Shipping cost per pound	0.50
Amount of shipping cost assigned to the customer	5000

ekkarill92 answered 2 years ago

Next > < Previous

Related Solutions

Revenue is recognized when shipped. Based on shipping dates, total revenue for 2018 is $1,372,637. The...

Revenue is recognized when shipped. Based on shipping dates, total revenue for 2018 is $1,372,637. The audit team has set overall materiality at $13,000. The total dollar volume of AR that was not approved was $13,726. Would you classify the authorization control deficiency identified above as material weakness, control deficiency or significant deficiency?

Quality Cost Report Evans Company had total sales of $3,000,000 for fiscal 2015. The costs of...

Quality Cost Report Evans Company had total sales of $3,000,000 for fiscal 2015. The costs of quality-related activities are given below. Returns/allowances $180,000 Design changes 195,000 Prototype inspection 6,000 Downtime 135,000 Quality circles 12,000 Packaging inspection 6,000 Field testing 15,000 Complaint adjustment 135,000 Required: Hide 1. Prepare a quality cost report, classifying costs by category and expressing each category as a percentage of sales. Round percentages to one decimal place, when rounding is required. For example, 5.78% would be entered...

The difference between total revenue and total cost is: marginal revenue. nominal revenue. average revenue. economic...

The difference between total revenue and total cost is: marginal revenue. nominal revenue. average revenue. economic profit or loss. Total revenue is a firm's: difference between revenue and cost. ratio of revenue to quantity. change in revenue resulting from a unit change in output. total output times the price of that output

Use the cost and revenue data to answer the questions. Quantity Price Total revenue Total cost...

Use the cost and revenue data to answer the questions. Quantity Price Total revenue Total cost 1010 9090 900900 675675 1515 8080 12001200 825825 2020 7070 14001400 10251025 2525 6060 15001500 12501250 3030 5050 15001500 15001500 3535 4040 14001400 18501850 If the firm is a monopoly, what is marginal revenue when quantity is 2525 ? MR = $ Not a valid number tools x10y What is marginal cost when quantity is 1515 ? MC = $ Not a valid number...

4) Assume that revenue is $180 million, cost of goods sold is $50 million, total assets...

4) Assume that revenue is $180 million, cost of goods sold is $50 million, total assets are $800 million and inventories are $80million. On the common size statements, inventories would have an approximate value of ___ and cost of goods sold would have an approximate value of ___

Question 1 Output total cost marginal cost fixed cost average cost Total revenue average revenue Marginal...

Question 1 Output total cost marginal cost fixed cost average cost Total revenue average revenue Marginal revenue 0 10 0 1 16 20 2 26 40 3 40 60 4 60 80 5 88 100 6 120 120 A) Complete the missing data on the table B) What is the selling price of a laptop case explain your answer c) What is the profit maximizing level of output for this firm explain your answer d) create a graph using three...

Market Price $30 $110 $955 Outstanding units 1120,000 10,000 6,000 Book value 3,000,000 1,000,000 6,000,000 Cost...

Market Price $30 $110 $955 Outstanding units 1120,000 10,000 6,000 Book value 3,000,000 1,000,000 6,000,000 Cost of capital 15.00% 12.00% 9.0% Clark Explorers, Inc., an engineering firm, has the following capital structure: LOADING... . Using market value and book value (separately, of course), find the adjusted WACC for Clark Explorers at the following tax rates:a. 35% b. 25% c. 15% d. 5% a. What is the market value adjusted WACC for Clark Explorers at a tax rate of 35%? nothing%...

If your company has Total Fixed Cost = $800,000, Total Sales Revenue = $2,225,000, Total Variable...

If your company has Total Fixed Cost = $800,000, Total Sales Revenue = $2,225,000, Total Variable Cost = $1,335,000, and Number of Units = 25,000, what is the number of units you need to sell to break even? If your company has Total Fixed Cost = $141,000, Selling Price per Unit = $29.00, and Variable Cost per Unit = $7.71, what is the sales revenue you need to generate to break even? If your company has Net Operating Income =...

A company has the capacity to generate a revenue of $3,000,000 a year. The break even...

A company has the capacity to generate a revenue of $3,000,000 a year. The break even revenue is $2,000,000 a year. From the breakeven point every $100 extra revenue generates $40 extra profit and every $100 decrease in revenue results in $40 extra loss. The costs consist of fixed cost , variable costs which are linear related to the revenue. 1-calculate the fix cost 2-calcualte the variable cost at revenue of $1,500,000 a year. The company decides to purchase another...

Complete the following cost and revenue schedule. Price Quantity Demanded Total Revenue Marginal Revenue Total...

Complete the following cost and revenue schedule. Price Quantity Demanded Total Revenue Marginal Revenue Total Cost Marginal Cost Average Total Cost 200 0 240 180 10 360 160 20 500 140 30 660 120 40 840 100 50 1040 80 60 1260 60 70 1500 40 80 1760 20 90 2040 a. At what rate of output are profits maximized within this range? b. What are total profits at that output rate?

Subjects