10 11 12 13 14 B D H Part 2 Answer the following questions according to Table A and Annual Fixed Costs Table. Assume that they only sell the Low Option. a How much does it cost to both produce and package one Low Option to Evtel Kitchen Appliances? b How much does producing and selling one unit of Low Option contribute to EvTel Kitchen Appliances? C Report the total cost related to the production for a year. (Remark: Do not forget to consider the fixed costs related to production.) d How many Low Option does Evtel Kitchen Appliances need to sell to make a profit of 0 TL, annually? (Remark: Do not round the answer!) 134.59

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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B.
D
E
F
G.
Part 2
Answer the following questions according to Table A and Annual Fixed Costs Table. Assume that they only sell the Low Option.
10
a.
How much does it cost to both produce and package one Low Option to Evtel Kitchen Appliances?
134.59
11
12
How much does producing and selling one unit of Low Option contribute to EvTel Kitchen Appliances?
Report the total cost related to the production for a year. (Remark: Do not forget to consider the fixed costs related to production.)
13
How many Low Option does Evtel Kitchen Appliances need to sell to make a profit of 0 TL, annually? (Remark: Do not round the
d.
14
answer!)
Transcribed Image Text:B. D E F G. Part 2 Answer the following questions according to Table A and Annual Fixed Costs Table. Assume that they only sell the Low Option. 10 a. How much does it cost to both produce and package one Low Option to Evtel Kitchen Appliances? 134.59 11 12 How much does producing and selling one unit of Low Option contribute to EvTel Kitchen Appliances? Report the total cost related to the production for a year. (Remark: Do not forget to consider the fixed costs related to production.) 13 How many Low Option does Evtel Kitchen Appliances need to sell to make a profit of 0 TL, annually? (Remark: Do not round the d. 14 answer!)
H.
K
35
36
TABLE A
TABLE B
Annual Fixed Costs (TL)
Marketing, Selling and
Distribution Expenses
Low Option
High Option
725,000.00
37
Annually Estimated
Annually Estimated Sales
Administration Expenses
1,250,000.00
38 Sales
30,000.00
1,285.00
15,000.00
1,443.00
39 Price (TL)
$4
Price (TL)
2$
R&D
379,000.00
40
Direct Fixed Costs
4,750,000.00
41 Materials
Number Required
Unit Costs (TL)
Materials
Number Required rqaaS
42 Stove
1
172.25
Stove
1
202.25
43 Oven
1
242.15
Oven
1
252.15
TAX RATE
44 Display Screen
45 Driver
1
19.25
Display Screen
2
36.24
2
18.10
Driver
2
18.10
20%
46 Electronic Card
1
11.97
Electronic Card
Bluetooth
1
11.97
47 Bluetooth
1
11.16
1
11.16
48 Fan
2
7.99
Fan
8
7.99
49 Light Bulb
1
Light Bulb
Smart Connectivity
4.99
5.99
50
39.99
51 Direct Labor Costs
85.32
52 Packaging Cost Per
49.27
Direct Labor Costs
10%
Increase from LowOption's Direct Labor Cost
Increase from LowOption's Packaging Cost
53
Packaging Cost Per Unit
4%
54
Instructions
Answers
Transcribed Image Text:H. K 35 36 TABLE A TABLE B Annual Fixed Costs (TL) Marketing, Selling and Distribution Expenses Low Option High Option 725,000.00 37 Annually Estimated Annually Estimated Sales Administration Expenses 1,250,000.00 38 Sales 30,000.00 1,285.00 15,000.00 1,443.00 39 Price (TL) $4 Price (TL) 2$ R&D 379,000.00 40 Direct Fixed Costs 4,750,000.00 41 Materials Number Required Unit Costs (TL) Materials Number Required rqaaS 42 Stove 1 172.25 Stove 1 202.25 43 Oven 1 242.15 Oven 1 252.15 TAX RATE 44 Display Screen 45 Driver 1 19.25 Display Screen 2 36.24 2 18.10 Driver 2 18.10 20% 46 Electronic Card 1 11.97 Electronic Card Bluetooth 1 11.97 47 Bluetooth 1 11.16 1 11.16 48 Fan 2 7.99 Fan 8 7.99 49 Light Bulb 1 Light Bulb Smart Connectivity 4.99 5.99 50 39.99 51 Direct Labor Costs 85.32 52 Packaging Cost Per 49.27 Direct Labor Costs 10% Increase from LowOption's Direct Labor Cost Increase from LowOption's Packaging Cost 53 Packaging Cost Per Unit 4% 54 Instructions Answers
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