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3 years ago

PA5.

Business

1 answer:

Anuta_ua [19.1K]3 years ago

5 0

Answer:

January February March

production <u> 2,500 3,000 2,700 </u>

variable 44,875 53,850 48,465

fixed <u> 14,500 14,500 14,500 </u>

total 59,375 68,350 62,965

Explanation:

indirect materials 0.5 (2 dollar per pound x .25 pound per unit)

indirect labor 16.5 ( 1 hour x 16.50 rate)

maintenance 0.75

utilities 0.2

total variable 17.95

supervisor 1000

maintenance 9000

insurance 3000

depreciation 1500

total fixed 14500

the fixed amount will remain the same and we will solve for the variable on each month considering each units generates 17.95 dollar of variable overhead

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