facturing costs per unit and administrative expenses per unit turing overhead (in total) nd administrative d during the year ng year expenses (in total) $61 $8 $32,000 $6,000 2,000 900

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter2: Building Blocks Of Managerial Accounting
Section: Chapter Questions
Problem 5EA: Rose Company has a relevant range of production between 10,000 and 25.000 units. The following cost...
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Watkins Company manufactures widgets. The following data is related to sales and production of the widgets for last year.
Selling price per unit
$170
Variable manufacturing costs per unit
$61
Variable selling and administrative expenses per unit
$8
Fixed manufacturing overhead (in total)
Fixed selling and administrative expenses (in total)
Units produced during the year
Units sold during year
Using variable costing, what is the contribution margin for last year?
O A. $90,900
B. $54,900
O C. $52,900
OD. $153,000
$32,000
$6,000
2,000
900
Transcribed Image Text:Watkins Company manufactures widgets. The following data is related to sales and production of the widgets for last year. Selling price per unit $170 Variable manufacturing costs per unit $61 Variable selling and administrative expenses per unit $8 Fixed manufacturing overhead (in total) Fixed selling and administrative expenses (in total) Units produced during the year Units sold during year Using variable costing, what is the contribution margin for last year? O A. $90,900 B. $54,900 O C. $52,900 OD. $153,000 $32,000 $6,000 2,000 900
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