A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: Selling price $ 110 Units in beginning inventory 0 Units produced 2,400 Units sold 2,100 Units in ending inventory 300 Variable costs per unit: Direct materials $ 41 Direct labor $ 15 Variable manufacturing overhead $ 7 Variable selling and administrative expense $ 9 Fixed costs: Fixed manufacturing overhead $64,800 Fixed selling and administrative expense $8,400 The total gross margin for the month under absorption costing is:
A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: Selling price $ 110 Units in beginning inventory 0 Units produced 2,400 Units sold 2,100 Units in ending inventory 300 Variable costs per unit: Direct materials $ 41 Direct labor $ 15 Variable manufacturing overhead $ 7 Variable selling and administrative expense $ 9 Fixed costs: Fixed manufacturing overhead $64,800 Fixed selling and administrative expense $8,400 The total gross margin for the month under absorption costing is:
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter2: Basic Cost Management Concepts
Section: Chapter Questions
Problem 23E: Orinder Company provided the following information for the last calendar year: During the year,...
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A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations:
| Selling price | $ 110 |
|---|---|
| Units in beginning inventory | 0 |
| Units produced | 2,400 |
| Units sold | 2,100 |
| Units in ending inventory | 300 |
| Variable costs per unit: | |
| Direct materials | $ 41 |
| Direct labor | $ 15 |
| Variable manufacturing overhead | $ 7 |
| Variable selling and administrative expense | $ 9 |
| Fixed costs: | |
| Fixed manufacturing overhead | $64,800 |
| Fixed selling and administrative expense | $8,400 |
The total gross margin for the month under absorption costing is:
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