Answer:
are costs that do not vary with production or sales level
Explanation:
Fixed cost can as well be regarded as overhead cost they are expenses in the company that does not depends on the change in the amount of goods and services produced in the company. They are time- related cost such as
salaries, property taxes, interest as well as insurance. It should be noted that fixed costs are costs that do not vary with production or sales level
Answer:
a. The number of whole units to be accounted for and to be assigned costs for the period is 17,000 units
b. The number of equivalent units of production for the period is 16,160 units
Explanation:
a. The computation of the whole units assigned for the period is shown below:
= Units completed and transferred + ending units of work in progress
= 15,800 units + 1,200 units
= 17,000 units
b. The computation of the equivalent units are shown below:
= (Units completed and transferred × percentage of completion) + (ending units of work in progress × percentage of completion)
= 15,800 units × 100% + 1,200 units × 30%
= 15,800 units + 360 units
= 16,160 units
Answer:
$46,400
Explanation:
The computation of the absorption costing net operating income last year is shown below:
= Net operating income under variable costing + Fixed overhead deferred in ending inventory - Fixed overhead released in beginning inventory
= $74,000 + $0 - $27,600
= $46,400
All other information which is given in the question is not relevant. Hence, ignored it
Answer:
(the image attached) for the monthly production budget for january through June
Explanation:
1st We will list each month sales
Then, we will calcualte the desired ending inventory as 110% of next month sales:
february sales 2,750
So, January ending inventory: 2,750 x 1.10 = 3,025
And so on with all the months.
Then we subtract the beginning inventory as those units are already produced/ in company's stocks
Giving as a result the units to be produced.
