Please refer to this problem for the next 3 questions: Inked Company produces and sells rattan baskets. The number of units produced and the corresponding total production costs for six months, which are representatives for the year, are presented in the table below. (1) Using the least squares method, the variable production cost per unit is approximately* Unita Dreducod Dreduction Costs
Q: Compute break-even unit for each product
A: First we need to calculate the contribution margin of the individual product then we will calculate…
Q: Panther Tyres Inc., produces 50,000 units each day, and the average number of units in work in…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: The following monthly data are available for Crane Company. which produces only one product: Selling…
A: Margin Of Safety = Actual Sales - Break-even Sales
Q: Using the least squares method, the monthly fixed production cost is approximately
A: Unit variable cost (b) = [n*sum(xy) - (sum of x)(sum of y)] / [n(sum of x2-sum of x20] Total fixed…
Q: [The following information applies to the questions displayed below.] Cane Company manufactures two…
A: Contribution margin is the difference between sales and variable cost where as net profit is the…
Q: The company produces the same number of units every month, although the sales in units vary from…
A: Under marginal costing, only variable manufacturing costs are considered as the product costs, and…
Q: The West Company’s cost structure for a certain items at a level of 20,000 units per month are as…
A: Total manufacturing cost per unit =Direct Material + Direct Labor + Variable indirect cost + Fixed…
Q: [The following information applies to the questions displayed below.] Iguana, Inc., manufactures…
A: The question is based on the concept of Cost Accounting.
Q: Thomas Train has collected the following information over the last six months. Month Units produced…
A: High-low method considers Highest Activity Units and Lowest Activity unit and their total cost.…
Q: The West Company’s cost structure for a certain items at a level of 20,000 units per month are as…
A: Formula: Prime cost = Direct materials + Direct labor Sum of both direct materials and direct labor…
Q: lavs Inc. collected the following production data for the past month: (See image) If the high-low…
A: Variable cost per unit = (Highest activity cost - Lowest activity cost) / (Highest activity units -…
Q: The West Company’s cost structure for a certain items at a level of 20,000 units per month are as…
A: Variable costs are those costs which change directly with change in level of activity.
Q: The manufacturing costs of Mocha Industries for three months of the year are as follows: Total Cost…
A: Variable costs: These are the costs that vary with the number of units produced. The more the units…
Q: Moratti Inc. has computed the following unit costs for the year just ended: • Direct material used •…
A: Formula: Unit product cost under Absorption costing = Direct materials + Direct labor + Variable…
Q: The manufacturing costs of Mocha Industries for three months of the year are as follows: Total Cost…
A: Unit Cost Highest Point June 3,170 100,106 Lowest Point April 1,560 97,208…
Q: The following monthly data are available for Concord Corporation. which produces only one product:…
A: SOLUTION- Contribution margin per unit = Selling price per unit - Unit variable expenses Break…
Q: Pietro Frozen Foods, Inc., produces frozen pizzas. For next year, Pietropredicts that 50,000 units…
A: ‘’Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…
Q: Attached is an image of the data for the month to assist with the question) The company produces the…
A: Under absorption costing, the actual cost spent on the unit produces or sold is allocated to that…
Q: Comet Canisters, Inc. has collected the following data for the current year: Beginning…
A: Unit product cost under absorption costing = Direct material + Direct labour + Variable…
Q: Identify the estimated conversion cost per unit. Identify the estimated prime cost per unit.…
A: “Hey, since there are multiple requirements posted, we will answer first three requirements. If you…
Q: A company produces three types of products A, B, and C, and is considering its production plan for…
A: Question is based on the concept of Cost accounting
Q: Frazier Manufacturing Company collected the following production data for the past month: Units…
A:
Q: Units Produced Total Cost 1,600 $66,000 1,300 $57,000…
A: High low method - it is a method in which we separate out Fixed cost and the variable cost with the…
Q: The output and production cost of a computer manufacturer for the last four months are as follows:…
A: Here in this question, we are required to calculate variable cost and fixed cost per unit for high…
Q: The manufacturing costs of Mocha Industries for three months of the year are as follows: Total…
A: High - low method is used to divide variable cost and fixed cost from the limited data available on…
Q: Rose Company has a relevant range of production between 10,000 and 25,000 units. The following cost…
A: "As per bartleby guidelines we will solve the first three question for you. If you want any specific…
Q: Blossom, Inc., is a small company that manufactures three versions of patio tables. Unit information…
A: 1. Particulars Table A Table B Table C sales price $56 $60 $74 Less: Direct materials 12…
Q: Feldspar, Inc. started the year with 200 units in the Finished Goods Inventory account. It produced…
A: Answer: “Option c”.
Q: The following monthly data are available for Swifty Corporation. which produces only one product:…
A: Contribution margin per unit = Selling price per unit - Unit variable expenses Break even sales in…
Q: Using this cost data from Rose Company, answer the following: a. If 10,000 units are produced, what…
A: Variable cost per unit will remain same always and it doesnt changes with the change in quantity.…
Q: Republic Industries decides to price delivery services according to the results of a recent…
A: Total delivery cost charged = (No. of orders x $10) + (No. of deliveries x $35) + (Total no. of…
Q: The Janesky Company has collected data on the manufacture of 6,071 robot grippers last month. The…
A: The aim of the company will be to increase the profits of the company. The profit of the company can…
Q: The company produces the same number of units every month, although the sales in units vary from…
A: Difference between the Absorption and Marginal Costing is that Fixed Manufacturing cost will be…
Q: What is Oat Treats' relevant cost? What does Simmons Cereal's offer cost? If Oat Treats accepts…
A: The calculation of relevant cost, offer cost and the incremental dollar amount is shown hereunder :…
Q: Marginal costing method.
A: Income statement as per marginal costing method as below. In Marginal costing method we have to find…
Q: Direct materials cost $ 128 per unit Direct labor cost $ 58 per unit Variable overhead cost $ 36 per…
A:
Q: The manufacturing costs of Mocha Industries for three months of the year are as follows: Total Cost…
A: Formula: Variable cost per unit = ( High cost - low cost ) / ( Higher production units - lower…
Q: The manufacturing costs of Bartee-Allen Enterprises for the second three months of the year follow:…
A: Company incurs cost in the manufacturing of products but these costs are the variable costs and…
Q: Sassa Company produces and sells rattan baskets. The number of driffs produced are the corresponding…
A:
Q: Cane Company manufactures two products called Alpha and Beta that sell for $240 and $162,…
A: Financial advantage (disadvantage) of accepting the new customer's order = Revenue from Special…
Q: Read the case study below and answer the questions that follow. Hendry Limited produces a…
A: Using variable costing approach, only variable costs are included in the product cost. Using…
Q: Company produces and sells rattan baskets. The number of drifts produced are the corresponding total…
A: Solution:- calculation of variable production cost per unit using least squares method as…
Q: The West Company’s cost structure for a certain items at a level of 20,000 units per month are as…
A: Variable production cost per unit = Direct material + Direct labor + Variable indirect cost = $1 +…
Q: B. If 28,000 units are produced, what is the variable cost per unit? D. If 29,000 units are…
A: Solution:- B) If 28,000 units are produced, what is the variable cost per unit? Answer:-…
Q: Hello Company makes three different products. Due to the constraints of their manufacturing…
A: Particulars Product A Product B Product C Selling Price Per Unit 10 8 50 Less: Variable Cost -3…
Q: a. Using the high-low method, determine the variable cost per unit. Round your answer to two…
A: High - low method is used to divide variable cost and fixed cost from the limited data available on…
Q: The following information is available for Henderson Components for the year just ended. Sales price…
A: Since we answer up to 3 sub-parts, we'll answer the first 3. Please resubmit the question and…
Step by step
Solved in 2 steps
- A company has a linear total cost function and has determined that over the next three months it can produce12,000 units at a total cost of $224; 000. This same manufacturer can produce 18,000 units at a total cost of$296; 000. The selling price per unit is $13.25.i. Determine the revenue, cost and pro t functions using q for number of units.ii. What is the xed cost ?iii. What is the marginal cost ?iv. Find the break-even quantity.v. What is the break-even dollar volume of sale ?vi. What will pro t be if the company shuts down operation?vii. If, because of a strike, the company will be able to produce only 10,000 units, should it shut down for the nextthree months ? why or why not ?III. NadasellsorangejuiceforOMR1.00pergallon.ThevariablecostperunitisOMR0.80,andthefixed costs per month are OMR 1,000. You are required to;A) Calculate the total costs if Nada produces 10,000 units? B)Calculate the total profit earned by Nada if they produce and sell 10,000 units?Exxarro Llimited is considering pricing and costing for the year ahead. The following data based on expected production and sales of 15 000 units are provided for analysis:Variable manufacturing costR1 185 000Fixed manufacturing costR510 000Sales commissionR5 per unit soldFixed administration costR130 000SalesR210 per unit Study the information provided above and answer the following questions independently:4.1 Calculate the break-even sales value. 4.2 Calculate the sales volume required to achieve a profit of R 800 000. 4.3 Suppose Exxaro Limited is considering a decrease of 10% per unit in the selling price of the product with the expectation that it would increase sales volume by 10%. Is this a good idea? Motivate your answer with relevant calculations.
- MAGGIE Company manufactures and sells a single product. The company's sales and expenses for the recent month are shown below: Required: 1.What is the contribution margin at breakeven point? 2. How much is the total fixed costs and expenses at breakeven point? 3. Margin of safety in pesos, in units and in percentage.Rongon Company manufactures twotypes of product. Selected information is given below:FantasyJoySelling price per unit$25$150Variable expenses per unit$15$35Number of units sold annually20,0005,000Fixed expenses total $480,800 per year. Required: i.Assuming the sales mix given above, do the following: a. Prepare a contribution format income statement showing both dollar and percent columns for each product and for the company as a whole. b. Compute the break-even point in dollars for the company as awhole and the margin of safety in both dollars and percent.ii.The company has developed a new product to be called Delight. Assume that the company could sell 10,000 units at $65each. The variable expenses would be $58each. The company’s fixed expenses would not change. a. Prepare another contribution format income statement, including sales of the Samoan Delight (sales of the other two products would not change). b. Compute the company’s new break-even point in dollars and the new margin…Robin Inc. provides the following manufacturing costs for the Third quarter of the year in the table below. Manufacturing Costs for the Third Quarter Months Production in Units Total Costs July 3,800 $59,550 August 4,200 $62,450 September 5,500 $71,875 Using the high-low method, determine the variable costs per unit. (Round intermediate calculations and your final answer to two decimal places.) Group of answer choices $14.37 $13.07 $7.25 $15.67
- ! Required information [The following information applies to the questions displayed below.] Acacia Manufacturing has compiled the following information from the accounting system for the one product it sells: Sales price Fixed costs (for the month) Marketing and administrative Manufacturing overhead Variable costs (per unit) Marketing and administrative Direct materials Manufacturing overhead Direct labor Units produced and sold (for the month) Required: a. Calculate the product costs per unit. Note: Round your answer to 2 decimal places. b. Calculate the period costs for the period. Product costs per unit b. Period costs $80 per unit $ 23,800 $ 9,100 $9 $20 $ 10 $16 21,000Write a linear cost function equation for each of the following conditions. Use y for estimated costsand X for activity of the cost driver.a. Direct materials cost is $2.70 per pound b. Total cost is fixed at $800 per month regardless of the number of units produced. c. Auto rental has a fixed fee of $90.00 per day plus $1.75 per mile driven. d. Machine operating costs include $1,000 of maintenance per month, and $15.00 of coolant usagecosts for each day the machinery is in operation.Lillibridge & Friends, Incorporated provides you with the following data for its single product: Sales price per unit Fixed costs (per quarter): Selling, general, and administrative (SG&A) Manufacturing overhead Variable costs (per unit): Direct labor Direct materials Manufacturing overhead SG&A Number of units produced per quarter Required: $ 60 1,500,000 4,500,000 9 12 10 6 500,000 units Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a. Prime cost per unit b. Contribution margin per unit c. Gross margin per unit d. Conversion cost per unit e. Variable cost per unit f. Full absorption cost per unit g. Variable production cost per unit h. Full cost per unit 500,000 units 600,000 units
- Johnson Company manufactures and sells a single product. The company's sales and expenses for last year follow: E(Click the icon to view the information.) X Data Table Read the requirements Requirement 1. Fill in the missing numbers in the table. Use the following questions to help fill in the missing numbers in the table: Total Per Unit % a. What is the total contribution margin? $ 81,250 $ Sales 25 ? The total contribution margin is $ ? Variable expenses Contribution.margin. 13,000 Fixed expenses $ 19,500 Operating income Done Printlavs Inc. collected the following production data for the past month: (See image) If the high-low method is used, what is the monthly total cost equation? * Units Produced Total Cost 1,600 1,300 1,500 1,100 P22,000 19,000 22,500 16,500 a. Total cost = P4,400 + P11/unit. %3D b. Total cost = P5,500 + P10/unit. %3D c. Total cost = P0 + P15/unit. %3DThe manufacturing costs of Mocha Industries for three months of the year are as follows: Total Cost Production April $98,908 1,180 Units May 101,540 1,650 June 105,740 2,400 a. Using the high-low method, determine the variable cost per unit. Round your answer to two decimal places.$ per unit b. Using the high-low method, determine the total fixed costs.$
