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Elden [556K]
3 years ago
9

Exercise 06-2 Computing unit and inventory costs under variable costing LO P1 Trio Company reports the following information for

the current year, which is its first year of operations. Assume instead that Trio Company uses variable costing. Direct materials $15 per unit Direct labor $16 per unit Overhead costs for the year Variable overhead $4 per unit Fixed overhead $160,000 per year Units produced this year 20,000 units Units sold this year 14,000 units Ending finished goods inventory in units 6,000 units1. Compute the product cost per unit using variable costing. Cost per unit of finished goods using: Variable costing Cost per unit of finished goods 2. Determine the cost of ending finished goods inventory
Business
1 answer:
storchak [24]3 years ago
8 0

Answer:

Trio Company

1. Using Variable Costing:

a. Product Cost per unit = $35 (see below)

b. Cost per unit of finished goods = $35 (see below)

2. Using variable cost, the cost of ending finished goods inventory = 6,000 * $35 = $210,000

b. Using total cost, the cost of ending finished goods inventory =

6,000 * $43 = $258,000

Explanation:

a) Calculation of Costs:

                              Cost per unit            Total Costs

Direct materials        $15                          $300,000

Direct labor                 $16                        $320,000

Variable overhead       $4                          $80,000

Total Variable             $35                       $700,000

Fixed Cost                    $8                        $160,000

Total Cost                  $43                       $860,000

b) Cost of Goods sold 14,000 x $43 = $602,000 using total cost per unit.

c) Cost of Goods sold 14,000 x $35 = $490,000 using variable cost per unit.

d) Variable costing is a method of assigning only variable costs to a product while the fixed overheads are treated as period expenses.

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maks197457 [2]

[] Answer []

\boxed{Boil}

[] Explanation []

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<u><em>Vegetables wilt or soften and their color intensifies as they boil</em></u>.

      When boiling vegetables, the food will be sitting in a pot of water with the heat on low, medium, or hight. Once the water gets warmer, the water will cook the vegetables, causing them to get tender and softer. This will cause the vegetables color to get darker, and go limp.

       When boiling vegetables, the flavor will not intensify, just the color, and it's shape. The water will drain any tase from the vegetable, but it will cause the food to go limp and get softer. Boiling is a famous way to cook your favorite vegetables, although the taste is not highly favored among lots of people.

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8 0
3 years ago
Elaborate on the meaning of contemporary socio-economic issues.​
saul85 [17]

Answer: See explanation

Explanation:

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Some of the contemporary socio-economic issues that are faced by the society are poverty, corruption, illteracy, unemployment, etc.

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3 years ago
Which characteristic places people at a higher risk for trying illicit drugs?
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3 years ago
A company pays each of its two office employees each Friday at the rate of $100 per day each for a five-day week that begins on
MatroZZZ [7]
<h3>Answer:</h3>

Debiting salaries Expense $400 and Crediting Salaries payable $400.

<h3>Explanation:</h3>

We are given;

1 employees earns $ 100 a day

Therefore;

2 employees will earn $ 200 a day

The month ends on Tuesday, but the two employees works on Monday and Tuesday.

  • Therefore, the month-end adjusting entry to record will be the amount earned by the two employees on the two days.

Two employees for 2 days = $200/day × 2 days

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  • But, salary is an expense, and in the accounts an increase in expense account is debited.
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Solnce55 [7]

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