Sea Company reports the following information regarding its production costs:
1 answer:
Answer:
correct option is (B) $94.50
Explanation:
given data
Units produced = 46,000 units
Direct labor = $39 per unit
Direct materials = $32 per unit
Variable overhead = $21 per unit
Fixed overhead = $115,000
to find out
product cost per unit under absorption costing
solution
we find Fixed overhead that is
fixed overhead =
fixed overhead = 2.5
so
total cost that is
total cost = Direct labor + Direct materials + Variable overhead + Fixed overhead
product cost = $39 + $32 + $21 + $2.5
product cost = $94.50
so correct option is (B) $94.50
You might be interested in
Answer:
days on inventory 57 + collection cycle 163- payment cycle 63
CCCT = 157 days
Explanation:
The cash-to-cash measures the times from the company paid his good from the time it collect from the customer:
days inventory outstanding + collection cycle - payment cycle
<u>days inventory outstanding:</u>
Where:
where:
COGS $ 1,790,000
Beginning Inventory: $ 273,000
Ending Inventory: $ 290,000
Average Inventory: $ 281,500
Inventory TO 6.358792185
Days on Inventory 57
<u>Collection cycle:</u>
where:
Purchases: 1,575,000
Beginning AP: 227,500
Ending AP: 316,200
Average AP: 271,850
AP TO 5.793636196
payment cycle 63
<u>Collection cycle</u>
Sales 102,000
Average AR 45,500
AR TO 2.241758242
collection cycle 163