Domestic Ovation Company has a single product called a Bit. The company normally produces and sells 24,000 Bits each year at a selling priceof $30 per unit. The company's unit costs at this level of activity are given below:Direct materialsDirect labourVariable manufacturing overheadFixed manufacturing overheadVariable selling expensesFixed selling expensesTotal cost per unitShow Transcribed Text$12.902.401.202.70 ($64,800 total)1.502.40 ($57,600 total)A number of questions relating to the production and sale of Bits follow. Each question is independent.$23.10Break-even price per unit2. Assume again that Ovation Company has sufficient capacity to produce 36,000 Bits each year. A customer in a foreign marketwants to purchase 6,000 Bits. Import duties on the Bits would be $1.70 per unit, and costs for permits and licences would be $2,700.Both import duties and permits and licenses will be paid by Ovation. The only selling costs that would be associated with the order are$2.10 per unit shipping cost. Compute the per unit break-even price on this order. (Do not round your intermediate calculations.Round your answer to 2 decimal places.)

Name: Domestic Ovation Company has a single product called a Bit. The compan
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Description: Domestic Ovation Company has a single product called a Bit. The company normally produces and sells 24,000 Bits each year at a selling priceof $30 per unit. The company's unit costs at this level of activity are given below:Direct materialsDirect lab

Break-even price A break-even price is the amount of money, or change in value, for which an asset…

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Ovation Company has a single product called a Bit. The company normally produces and sells 24,000 Bits each year at a selling price of $30 per unit. The company's unit costs at this level of activity are given below: Direct materials Direct labour Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses Total cost per unit A number of questions relating to the production and sale of Bits follow. Each question is independent. Show Transcribed Text $12.90 2.40 1.20 2.70 ($64,800 total) 1.50 2.40 ($57,600 total) $23.10 2. Assume again that Ovation Company has sufficient capacity to produce 36,000 Bits each year. A customer in a foreign market wants to purchase 6,000 Bits. Import duties on the Bits would be $1.70 per unit, and costs for permits and licences would be $2,700. Both import duties and permits and licenses will be paid by Ovation. The only selling costs that would be associated with the order are $2.10 per unit shipping cost. Compute the per unit break-even price on this order. (Do not round your intermediate calculations. Round your answer to 2 decimal places.) Break-even price per unit

Ovation Company has a single product called a Bit. The company normally produces and sells 24,000 Bits each year at a selling price of $30 per unit. The company's unit costs at this level of activity are given below: Direct materials Direct labour Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses Total cost per unit A number of questions relating to the production and sale of Bits follow. Each question is independent. Show Transcribed Text $12.90 2.40 1.20 2.70 ($64,800 total) 1.50 2.40 ($57,600 total) $23.10 2. Assume again that Ovation Company has sufficient capacity to produce 36,000 Bits each year. A customer in a foreign market wants to purchase 6,000 Bits. Import duties on the Bits would be $1.70 per unit, and costs for permits and licences would be $2,700. Both import duties and permits and licenses will be paid by Ovation. The only selling costs that would be associated with the order are $2.10 per unit shipping cost. Compute the per unit break-even price on this order. (Do not round your intermediate calculations. Round your answer to 2 decimal places.) Break-even price per unit

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 1PB: The following product costs are available for Stellis Company on the production of erasers: direct...

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