Shawnee Motors Inc. assembles and sells snowmobile engines. The
company began operations on August 1 and operated at 100% of
capacity during the first month. The following data summarize the
results for August:
1
Sales (33,000 units)
$8,250,000.00
2
Production costs (40,500 units):
3
Direct materials
$3,240,000.00
4
Direct labor
1,822,500.00
5
Variable factory overhead
1,012,500.00
6
Fixed factory overhead
607,500.00
6,682,500.00
7
Selling and administrative expenses:
8
Variable selling and administrative expenses
$1,160,000.00
9
Fixed selling and administrative expenses...