Unit costs associated with the sale of a product AA101:  Direct Materials, P230  Direct labor, P120  Manufacturing support costs, P460  Sales staff salaries, P190 Indirect costs per unit of AA101 are a. P1000 b. P650 c. P540 d. P580

Unit costs associated with the sale of a product AA101:  Direct Materials, P230  Direct labor, P120  Manufacturing support costs, P460  Sales staff salaries, P190 Indirect costs per unit of AA101 are a. P1000 b. P650 c. P540 d. P580

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 14EB: Crafts 4 All has these costs associated with production of 12,000 units of accessory products:...

See similar textbooks

Related questions

Q: A certain company is selling a specific product with a selling price of P105.00. Data regarding…

A: In Variable Costing the fixed costs are not considered a part of the total cost, but in Absorption…

Q: Question 5: The Information below is taken from production department of Salalah Company for April:…

A: Production is the process of converting raw material into finished goods which can be consumed by…

Q: Waterway Industries has beginning and ending work in process inventories of $120000 and S135000…

A: Total cost of goods manufactured = Beginning work in process inventory + total manufacturing costs -…

Q: The total prime cost of a product 400. The variable manufacturing overhead is calculated based on…

A: Formula: Total manufacturing cost = Direct materials + Direct labor + Variable manufacturing…

Q: 1-Assume that an industrial company producing two products x and y with the following cost and…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: KPR manufactures deals in various products. Relevant details of the products are as under: AW AX…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: Material used Dir ect labor rate Direct labor hours P800 P160 5.40 10 P5/Mhrs. 6.10 35 80%/DLC P70 8…

A: Job costing - It is a method used for ascertaining the cost of completing a particular job in…

Q: Fleurant, Inc., manufactures and sells two products: Product W2 and Product P8. Data concerning the…

A: Total Estimated overhead cost $467,200 Divide by Estimated Direct labor hours 3,200…

Q: Costs of manufactured are 958000 OMR, Prime cost is 736000 OMR, and Factory overheads are 12 % of…

A: The cost incurred by the organization to manufacture goods during production activity is termed as…

Q: Sales @ P74/unit P636,400 Variable costs per unit: Fixed costs: Direct materials P12 Factory…

A: Solution 1: Units sold = Sales / sales price = 636400 / 74 = 8600 units Period cost for the month…

Q: Costs of manufactured are 958000 OMR, Prime cost is 636000 OMR, and Factory overheads are 12 % of…

A: Cost of production means the cost which is incurred directly or indirectly for the production of the…

Q: A company had the following costs at four different levels of activity: Number of units 1250 2000…

A: With every change producing quantity of goods & services, Cost known as variable cost changes.

Q: 21. HIERARCHY Corporation manufactures a variety of products. Last yea the company's variable…

A: The net income is calculated as difference between sales and total expenses.

Q: Required information The Foundational 15 [LO1-1, L01-2, LO1-3, LO1-4, LO1-5, LO1-6] [The following…

A: The fixed cost remains fixed irrespective of the level of the activity within the defined range of…

Q: 1. Benguet Corp. has the following data pertaining to its only product: Direct Materials P 10.00 /…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Question 5: The Information below is taken from production department of Salalah Company for August:…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: The following particulars are extracted from the records of a company. Particulars Product A…

A: In the above-mentioned question, it is given that, raw material is the Key factor or in other words,…

Q: d. P205.00. b. P 44.65. V. Problems Problem 1 Peejay Autoparts, Inc., previously used a cost system…

A: In the traditional costing, overhead costs may be allocated to a product based on certain percentage…

Q: Steeze Co. makes snowboards and uses the total cost approach in setting product prices. Its costs…

A: Working note:

Q: . The following cost relate to XYZ Corp for the year: Sales commission expenses P 185,000 Direct…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: Items 16-19 are based on the following data: The Song Bird Company manufactures several different…

A: As posted multiple sub parts we are answering only first three sub parts kindly repost the…

Q: elling price per unit ariable manufacturing cost per u ixed manufacturing overhead cos ixed…

A: Given: To prepare the record of the per unit cost and income statement is given as,

Q: Question 5: The Information below is taken from production department of Salalah Company for April:…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: Question 5: The Information below is taken from production department of Salalah Company for April:…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Q: Snavely, Inc., manufactures and sells two products: Product E1 and Product A7. Data conceming the…

A: Calculation of Rate PARTICULAR Cost Cost Driver No. Rate Labour Related Cost…

Q: ! Required information Foundational [LO10-1, LO10-2, LO10-3] [The following information applies to…

A: 11. Labor spending variance shows the difference between actual and budgeted labor expenses. It is…

Q: Sales @ P74/unit P636,400 Variable costs per unit: Fixed costs: Direct materials P12 Factory…

A: Solution: Sales 636400 / Sales price 74 Units sold 8600

Q: GB Inc. produces three products. Production and cost information s PICTURE BELOW): Inspection costs…

A: Ans. Inspection cost will be allocated on the basis of number of inspections.

Q: Fleurant, Inc., manufactures and sells two products: Product W2 and Product P8. Data concerning the…

A: First, compute the activity rates for each activity as shown below:

Q: Question 5: The Information below is taken from production department of Salalah Company for April:…

A: Hi student , Since there are multiple questions, we will do only first question if you want…

Q: How much is the total manufacturing cost per unit?

A: Material Cost per unit = Total Material Cost divided by Equivalent units for materials Manufacturing…

Q: 2. Kurt Corporation manufactures a propeller. Shown below is Kurt's cost structure Variable cost per…

A: Since it is the first year of operations, there would be no beginning inventory and it is given that…

Q: Company XYZ has total prime cost of $21,000 and total conversion cost of $42,000. Assume that…

A: Prime costs include all the direct costs that are direct material, direct labor, and other direct…

Q: 116) Perkey Corporation has provided the following information: Cost per Unit $ 5.00 $ 2.90 $ 1.25…

A: The Direct manufacturing cost is a sum of 3 product categories: Direct materials Direct labor…

Q: u. P20,000 ABC Inc. manufactures industrial components. One of its products, which is used in the…

A: Correct option is b. P30 P30 is the minimum price per unit on the special order below which the…

Q: Vista Company reports the following information. Direct materials Direct labor Variable overhead…

A: Fixed overhead cost per unit = $380000 / 20000 units = $19 per unit

Q: mpany XYZ produced and sold $1,000 units. The total direct materials cost was $1,000, the direct…

A: Production cost : The Production cost is the sum of raw material cost , labor cost and manufacturing…

Q: Problém The Honey Company is comparing its present absorption costing practices with direct costing…

A: Direct costing income statement is additionally referred to as variable costing income statement.…

Q: Question 5: The Information below is taken from production department of Salalah Company for April:…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Question 1: The Information below is taken from production department of MSS Company for April: The…

A: Variable cost means the cost which vary with the level of output and fixed cost means the cost which…

Q: The East Company manufactures several different products. Unit costs associated with Product ORD105…

A: The total variable cost per unit is sum of the following = direct material + direct…

Q: Vacation Corporation produces a single product. Data concerning the com erations appear below: Units…

A: The difference in variable cost and absorption is that of treatment of fixed manufacturing overhead.…

Q: Case: 1 The following particulars are extracted from the records of a company. Product B Particulars…

Q: Unit costs associated with the sale of a product AA101:  Direct Materials, P230  Direct labor,…

A: Manufacturing cost means the cost which is incurred in factory or related with production of goods.…

Q: Vijay Company reports the following information regarding its production costs. Direct materials…

A: Under absorption costing, both fixed cost and variable costs are considered for product costing and…

Question

Unit costs associated with the sale of a product AA101:
 Direct Materials, P230
 Direct labor, P120
 Manufacturing support costs, P460
 Sales staff salaries, P190
Indirect costs per unit of AA101 are
a. P1000
b. P650
c. P540
d. P580

Definition Definition Total cost of procuring or producing a product or the cost that an individual or business owner undertakes for the manufacturing of goods.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

To determine the effect of different levels of production on the company’s income, move to cell B7 (Actual production). Change the number in B7 to the different production levels given in the table below. The first level, 100,000, is the current level. What happens to the operating income on both statements as production levels change? Enter the operating incomes in the following table. Does the level of production affect income under either costing method? Explain your findings.
Product cost concept of product pricing Based on the data presented in Exercise 12-15, assume that Willis Products Inc. uses the product cost concept of applying the cost-plus approach to product pricing. a.Determine the total manufacturing costs and the cost amount per unit for the production and sale of 200,000 units. b.Determine the product cost markup percentage per unit. Round to two decimal place. c.Determine the selling price per unit. Round to the nearest dollar.
Crafts 4 All has these costs associated with production of 12,000 units of accessory products: direct materials, $19; direct labor, $30; variable manufacturing overhead, $15; total fixed manufacturing overhead, $450,000. What is the cost per unit under both the variable and absorption methods?
The following product costs are available for Kellee Company on the production of eyeglass frames: direct materials, $32,125; direct labor, $23.50; manufacturing overhead, applied at 225% of direct labor cost; selling expenses, $22,225; and administrative expenses, $31,125. The direct labor hours worked for the month are 3,200 hours. A. What are the prime costs? B. What are the conversion costs? C. What is the total product cost? D. What is the total period cost? E. If 6.425 equivalent units are produced, what is the equivalent material cost per unit? F. What is the equivalent conversion cost per unit?
The following product Costs are available for Haworth Company on the production of chairs: direct materials, $15,500; direct labor, $22.000; manufacturing overhead, $16.500; selling expenses, $6,900; and administrative expenses, $15,200. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 7,750 equivalent units are produced, what is the equivalent material cost per unit? If 22,000 equivalent units are produced, what is the equivalent conversion cost per unit?
The following product costs are available for Stellis Company on the production of erasers: direct materials, $22,000; direct labor, $35,000; manufacturing overhead, $17,500; selling expenses, $17,600; and administrative expenses; $13,400. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 13,750 equivalent units are produced, what is the equivalent material cost per unit? If 17,500 equivalent units are produced, what is the equivalent conversion cost per unit?
Jester Company had unit contribution margin on 3.60 and fixed costs of 29,664. Income was 2,520. What was the margin of safety in units? a. 630 b. 700 c. 8,940 d. 7,540
Wrappers Tape makes two products: Simple and Removable. It estimates it will produce 369,991 units of Simple and 146,100 of Removable, and the overhead for each of its cost pools is as follows: It has also estimated the activities for each cost driver as follows: Â How much is the overhead allocated to each unit of Simple and Removable?
Statement of cost of goods manufactured and income statement for a manufacturing company The following information is available for Robstown Corporation for 20Y8: Instructions 1. Prepare the 20Y8 statement of cost of goods manufactured. 2. Prepare the 20Y8 income statement.
Rex Industries has two products. They manufactured 12,539 units of product A and 8.254 units of product B. The data are: What is the activity rate for each cost pool?
Activity-based costing in an insurance company Umbrella Insurance Company carries three major lines of insurance: auto, workers' compensation, and homeowners. The company has prepared the following report for 20Y2: Management is concerned that the administrative expenses may make some of the insurance lines unprofitable. However, the administrative expenses have not been allocated to the insurance lines. The controller has suggested that the administrative expenses could be assigned to the insurance lines using activity-based costing. The administrative expenses are comprised of five activities. The activities and their rates are as follows: Activity-base usage data for each line of insurance were retrieved from the corporate records and are shown below. a.Complete the product profitability report through the administrative activities. b.Determine the underwriting income as a percent of premium revenue. C.Determine the Operating income as a percent of premium revenue, rounded to one decimal place. d.Interpret the report.
Items on variable costing income statement In the following equations, based on the variable costing income statement, identify the items designated by X: a. Net Sales X = Manufacturing Margin b. Manufacturing Margin X = Contribution Margin c. Contribution Margin X = Income from Operations