How much is the total consumer spending

For financial accounting purposes, what is the total amount of product costs incurred to make 24,500 units

Anna71 [15]

Answer:

The product cost for 24,500 units is $497,350.

Explanation:

The reason is that the the product cost always includes all the variable production cost and specific fixed production cost. In this scenario, direct material cost, direct labor cost, variable manufacturing overhead cost are variable production cost whereas the fixed manufacturing cost is specific fixed production cost which will form part of product cost. The remainder of the cost left is period cost.

Direct materials (24,500 * $7.7 per unit) $188,650

Direct labor (24,500 * $4.7 per unit) $115,150

Variable manufacturing overhead (24,500 * $2.2 per unit) $53,900

Fixed manufacturing overhead (24,500 * $5.7 per unit) $139,650

Total product costs $497,350

7 0

2 years ago

Bonita Realty Management Co. received a check for $32,400 on August 1, which represents a one year advance payment of rent on an

ludmilkaskok [199]

Answer:

Explanation:

The adjusted journal entry is shown below:

Unearned rent revenue A/c Dr

To Rent revenue A/c

(Being the adjusted entry of rent is recorded)

The computation of the rent revenue is shown below:

= Received amount × number of months ÷ (total number of months in a year)

= $32,400 × (5 months ÷ 12 months)

= $13,500

The 5 months is calculated from August 1 to December 31

3 0

2 years ago

Total quality management firms believe that it is the responsibility of ____ employees to serve the needs of customers.

andriy [413]

Answer:

The answer is ALL

Explanation:

8 0

11 months ago

Thad is worried about the selling price. Rumors are circulating that other retro brands of cycles may be revived. If so, the sel

Step2247 [10]

Answer:

$3,130,000

Explanation:

Net operating income = Total revenue - Total cost

Total revenue = price x quantity = $9,500 x 400 = $3,800,000

Total cost = $670,000

Net operating income = $3,800,000 - $670,000 = $3,130,000

I hope my answer helps you

3 0

2 years ago

Ball Bearings, Inc., faces costs of production as follows:

Travka [436]

Answer:

Q Fixed Variable Total Marginal Aver. Aver. Aver.

Costs Costs Cost Cost FC VC TC

0 100 0 100 - - - -

1 100 50 150 150 100 50 150

2 100 70 170 20 50 35 85

3 100 90 190 20 33.33 30 63.33

4 100 140 240 50 25 35 60

5 100 200 300 60 20 40 60

6 100 360 460 160 16.67 60 76.67

The firm's profit in this case is -$360.

True or False: This was a wise decision. ⇒ False

Depends on the situation and which costs are avoidable if the company shuts down operations. If it produces 4 cases, the losses reduce from -$100 to -$40, but the contribution margin is positive since revenues exceed variable costs by $60. But under the current price level, the company will not be able to generate profits unless it increases its sales price or decreases its fixed costs.

Vaguely remembering his introductory economics course, the company's chief financial officer tells the CEO it is better to produce 1 case of ball bearings, because marginal revenue equals marginal cost at that quantity.

At this level of production, the firm's profit is -$100.

True or False: This is the best decision the firm can make. ⇒ False

Accounting profit is maximized at 4 cases since marginal cost ($50) = sales price ($50). At this point the total profit is -$40.

3 0

2 years ago

How much is the total consumer spending​

How much is the total consumer spending