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ira [324]
3 years ago
6

Pavelko Corporation has provided the following data for its two most recent years of operation: Manufacturing costs: Variable ma

nufacturing cost per unit produced: Direct materials $ 13 Direct labor $ 5 Variable manufacturing overhead $ 5 Fixed manufacturing overhead per year $90,000 Selling and administrative expenses: Variable selling and administrative expense per unit sold $ 6 Fixed selling and administrative expense per year $61,000 Year 1 Year 2 Units in beginning inventory 0 1,000 Units produced during the year 10,000 9,000 Units sold during the year 9,000 8,000 Units in ending inventory 1,000 2,000 The unit product cost under absorption costing in Year 1 is closest to:
Business
1 answer:
marysya [2.9K]3 years ago
7 0

Answer:

Total unitary manufacturing cost= $32

Explanation:

Giving the following information:

Direct materials $ 13

Direct labor $ 5

Variable manufacturing overhead $5

Fixed manufacturing overhead per year $90,000

Units produced= 10,000 units.

<u>The absorption costing method includes all costs related to production, both fixed and variable. </u>The unit product cost is calculated using direct material, direct labor, and total unitary manufacturing overhead.

Unitary fixed overhead= 90,000/10,000= $9

Total unitary manufacturing cost= 13 + 5 + 5 + 9

Total unitary manufacturing cost= $32

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Arturo Company pays $4,000,000 cash and issues 20,000 shares of its $2 par value common stock (fair value of $50 per share) for
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As follows:

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4 years ago
LO 4.3From beginning to end, place these items in the order of the flow of goods.
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Answer:

  1. cost of goods sold
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Explanation:

solution

As manufacturing industry always keep the track of costs of each inventory as product is moving from the raw material inventory in to the work in process and by the work in process it goes into the the finished goods inventory

so order of the flow of goods from beginning to end is

  1. cost of good sold  
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