Answer:
This is an example of product mix because it represents all of the company's product lines put together :)
Answer:
Total costs= $75,000
Explanation:
Giving the following information:
For 10,000 units:
$40,000 for direct labor
$4,000 for electric power
Total fixed costs are $23,000
We need to determine the unitary variable cost for direct labor and electric power:
Unitary direct labor= 40,000/10,000= $4
Electric power= 4,000/10,000= $0.4 per unit
Now, for 12,000 units:
Total direct labor cost= 4*12,000= $48,000
Electric power= 0.4*12,000= $4,800
Fixed costs= 23,000
Total costs= $75,000
Answer:
d. $2.10 per unit
Explanation:
Calculation for What is the company's unit contribution margin
First step is to calculate the Variable cost using this formula
Variable cost = Variable Manufacturing Expenses + Variable Selling & Administrative Expenses
Let plug in the formula
Variable cost = $297,000 + $165,000
Variable cost = $462,000
Second step is to calculate Total Contributiom Margin using this formula
Total Contributiom Margin=Sales – Variable Cost
Let plug in the formula
Total Contributiom Margin= $924,000 - $462,000
Total Contributiom Margin= $462,000
Now let calculate Unit Contribution Margin using this formula
Unit Contribution Margin= Total Contribution Margin/Total number produced and sold cement
Let plug in the formula
Unit Contribution Margin = $462,000 / 220,000 Unit Contribution Margin= $2.10 per unit
Therefore the Unit Contribution Margin will be $2.10 per unit
Answer:
The most I could pay for the investment is $12,960.09
Explanation:
The maximum a rational investor could pay acquire an investment is the present value of all future cash flows receivable from the investment.
In the case, the present of all cash flows is calculated thus:
Years Cashflows [email protected] 12% PV
1 5000 0.892857143 4,464.29
2 5300 0.797193878 4,225.13
3 6000 0.711780248 4,270.68
Total of present values 12,960.09
The discounting factor is calculated using the formula :
1/(1+r)^n where r and n are rate and number of years respectively.
Answer and Explanation:
The computation of the ending balance in the work in process inventory for each department is shown below:
For Cutting department
= Direct material + conversion + cost added for direct material + cost added for conversion - transferred in from cutting department
= $1,095 + $3,650 + $13,740 + $18,300 - $17,395
= $19,390
And, for binding department
= Transferred in from cutting department Direct material + conversion + cost added for direct material + cost added for conversion - transferred to finished goods
= $1,200 + $2,862 + $3,800 + $9,332 + $19,475 - $31,000
= $5,669
