Question

Alexis Co. reported the following information for May: Part A Units sold 6,800 units Selling price per unit $ 980 Variable manufacturing cost per unit 610 Sales commission per unit - Part A 98 What is the manufacturing margin for Part A

Answer 1

Answer:

$2,516,000

Explanation:

Calculation to determine the manufacturing margin for Part A

Sales $6,664,000

($980*6800)

Less: Cost of goods sold ($4,148,000)

($610*6800)

Manufacturing margin for product A $2,516,000

Therefore the manufacturing margin for Part A is $2,516,000