A business operated at 100% of capacity during its first month, with the following results: Sales (106 units) $625,400 Production costs (132 units): Direct materials $84,188 Direct labor 21,495 Variable factory overhead 37,616 Fixed factory overhead 35,825 179,124 Operating expenses: Variable operating expenses $5,989 Fixed operating expenses 3,551 9,540 The amount of gross profit that would be reported on the absorption costing income statement is Oa. $475,569 Ob. $625,268 Oc. $481,558 Od. $472,018

A business operated at 100% of capacity during its first month, with the following results: Sales (106 units) $625,400 Production costs (132 units): Direct materials $84,188 Direct labor 21,495 Variable factory overhead 37,616 Fixed factory overhead 35,825 179,124 Operating expenses: Variable operating expenses $5,989 Fixed operating expenses 3,551 9,540 The amount of gross profit that would be reported on the absorption costing income statement is Oa. $475,569 Ob. $625,268 Oc. $481,558 Od. $472,018

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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View Policies Current Attempt in Progress E-Flix rents DVDS that are mailed out to customers upon demand. E-Flix has identified three activities involved in getting the videos to its customers. Information on those activities for the month of July follows: Estimated Expected Use of Cost Drivers Cost Pools Cost Drivers Overhead Cost Order taking costs Number of orders $20,592 187,200 orders Technology support Number of minutes $11,700 234,000 minutes Picking and shipping Number of DVDS $39,624 330,200 DVDS costs During July, the Tucker family placed 17 orders consisting of 21 DVDs. Tucker required 7 minutes of tech support. Customers pay $9.00 per month to rent unlimited DVDS. Using ABC, how much overhead is applied to the Tucker family account for order taking costs? O $4.74 O $2.52 O $1.871 O $6.45 Submit Answer Save for Later Attempts: 0 of 1 used 2:27 PM 10/13/20 e
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A&external_browser%=0&launchUrl=https%253A%252F%252Fnewconnect.mheducation.com%252F#/acti Saved High Country, Inc., produces and sells many recreational products. The company has just opened a new plant to produce a folding camp cot that will be marketed throughout the United States. The following cost and revenue data relate to May, the first month of the plant's operation: Beginning inventory Units produced Units sold Selling price per unit Selling and administrative expenses: Variable per unit Fixed (per month) Manufacturing costs: Direct materials cost per unit Direct labor cost per unit Variable manufacturing overhead cost per unit Fixed manufacturing overhead cost (per month) 47, 000 42, 000 %24 84 3 $ 559, 000 %24 18 8 %24 $ 846, 000 Management is anxious assess the profitability of the new camp cot during the month of May. Required: 1. Assume that the company uses absorption costing. a. Calculate the unit product cost. b. Prepare an income statement for May. 2. Assume that the…
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CLA Inbox - abhireddy726@gmail.com - Gmail Announcements - Accounting for Leaders - 202032 - CRN1... Connect Search All Matches | Chegg.com Midterm Graded Problems i Saved Help Save & Exit Submit Lichtenstein Imports needs to determine the variable utilities rate per machine hour in order to estimate cost for August. Relevant 40 information is as follows. Machine Hours Month Worked Utilities Cost April Мay 5,650 5,200 7,500 9,000 10,060 9,940 11,725 13,400 June July Lichtenstein anticipates producing 6,000 units in August, each unit requiring 2.5 hours of machine time. The company uses the high- low method to analyze costs. Required: A. Calculate the variable and fixed components of the utilities cost. B. Using the data calculated above, estimate the utilities cost for August. For all requirements, round "variable cost per hour" to 2 decimal places and final answers to the nearest dollar amount. A. Variable cost per hour Fixed cost B. Total variable cost Total fixed cost Total…
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