SavedHeAn drnalysIS OI the previous yedr s Tecoras produced ihe jollowing Slalistics.Order SizeMediumSmallRetail sales in boxes (12 skeins per box)Catalog sales in skeinsNumber of retail ordersLarge191,00057,0006, 220183, 160Total4,00092,00064,50065,0003,065447,830259,500214,0009,900913,520615Catalogs distributed282,530Required:1. Prepare a schedule showing Redwood Company's total selling cost for each order size and the per-skein selling cost within eacorder size. (Round your intermediate calculations and unit cost per order to 2 decimal places.)REDWOOD COMPANYComputation of Selling CostsBy Order Size and Per Skein Within Each Order SizeOrder SizeSmallMediumLargeTotalSales commissions2$14,0002$14,000CatalogsCost of catalog salesCredit and collection2414,000 $0 $0 S14.000Total cost for all orders of a given sizeUnits (skeins) sold< Prev2 of 7Next >LUN ChAfter studying the costs incurred over the past two years for one of its products, skeins of knitting yarn, Jackson has selected fourcategories of selling costs and chosen cost drivers for each of these costs. The selling costs actually incurred during the past year andthe cost drivers are as follows:Cost CategorySales commissionsCatalogsCost of catalog salesCredit and collectionAmountCost Driver$ 519,000 Boxes of yarn sold to retail stores456,760 Catalogs distributed128,400 Skeins sold through catalog89, 100 Number of retail ordersTotal selling costs$1,193, 260The knitting yarn is sold to retail outlets in boxes, each containing 12 skeins of yarn. The sale of partial boxes is not permitted.Commissions are paid on sales to retail outlets but not on catalog sales. The cost of catalog sales includes telephone costs and thewages of personnel who take the catalog orders. Jackson believes that the selling costs vary significantly with the size of the order.Order sizes are divided into three categories as follows:Order SizeSmallCatalog Sales1-10 skeinsRetail Sales1-10 boxes11-20 boxesMedium11-20 skeinsLargeOver 20 skeinsOver 20 boxesAn analysis of the previous year's records produced the following statistics.Order SizeSmallMediumLargeTotal< Prev2 of 7Next >

Answered: Image /qna-images/answer/9b404a3d-4a0d-42bb-9549-a2b820c775f3.jpg

Required: 1. Prepare a schedule showing Redwood Company's total selling cost for each order size and the per-skein selling cost wit order size. (Round your intermediate calculations and unit cost per order to 2 decimal places.) REDWOOD COMPANY Computation of Selling Costs By Order Size and Per Skein Within Each Order Size Order Size Small Medium Large Total Sales commissions 2$ 14,000 14,000 Catalogs Cost of catalog sales Credit and collection 01 Total cost for all orders of a given size 14,000 S 14.000 Units (skeins) sold

Required: 1. Prepare a schedule showing Redwood Company's total selling cost for each order size and the per-skein selling cost wit order size. (Round your intermediate calculations and unit cost per order to 2 decimal places.) REDWOOD COMPANY Computation of Selling Costs By Order Size and Per Skein Within Each Order Size Order Size Small Medium Large Total Sales commissions 2$ 14,000 14,000 Catalogs Cost of catalog sales Credit and collection 01 Total cost for all orders of a given size 14,000 S 14.000 Units (skeins) sold

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter21: Variable Costing For Management analysis

Section: Chapter Questions

Problem 4PB: Salespersons report and analysis Pachec Inc. employs seven salespersons to sell and distribute its...

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