Current Attempt in Progress The salespeople at Kingbird, a notebook manufacturer, commonly pressured operations managers to keep costs down so the company could give bigger discounts to large customers. Donald, the operations supervisor, leaked the $0.90 total unit cost to salespeople, who were thence that was slightly lower than the previous year's unit cost. Budgets were not yet finalized for the upcoming year, so it was und at the target unit cost would be. Donald knew the current year's operating capacity was two million notebooks, and Kingbirded and sold just that many. The detailed breakdown of the $0.90 total unit cost is as follows. (4) Direct material Direct labor Variable overhead Fixed overhead Total cost per unit Total fixed costs Gross margin ✓ Your answer is correct. What w ngbird's total fixed costs? If the average selling price was $1.75, how much gross margin did the company generate? Fixed.com Total costrunit Gross margin eTextbook and Media Save for Later $0.10 $ 0.25 $ xed cos 0.15 Total cost per unit Gross margin 0.40 $0.90 If Kingbird incurs exactly the same total fixed costs but produces and sells only 1,600,000 notebooks this coming year, what happens to the fixed cost per unit? In turn, what would the total cost per unit be? If the average selling price stays at $1.75, how much gross margin would be earned? (Round per unit answers to 2 decimal places, e.g. 15.25) eTextbook and Media 800,000 1,700,000 Increased by $ $ $ If Kingbird reworks its equipment layout and processes to increase the top end of its relevant range of activity to 2,500,000 notebooks without incurring more fixed costs, what happens to the fixed cost per unit if it is able to make and sell that larger Quantity of units? (Round per unit answers to 2 decimal places, eg. 15.25.) by $ $ per unit $ per unit Attempts: 2 of 2 used per unit per unit Attempts: 1 of 2 used Submit Answer

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter14: The Balanced Scorecard And Corporate Social Responsibility
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Current Attempt in Progress
The salespeople at Kingbird, a notebook manufacturer, commonly pressured operations managers to keep costs down so the company
could give bigger discounts to large customers. Donald, the operations supervisor, leaked the $0.90 total unit cost to salespeople, who
were thoedince that was slightly lower than the previous year's unit cost. Budgets were not yet finalized for the upcoming year, so
it was unhat the target unit cost would be. Donald knew the current year's operating capacity was two million notebooks, and
Kingbirded and sold just that many. The detailed breakdown of the $0.90 total unit cost is as follows.
(4)
Direct material
Direct labor
Variable overhead
Fixed overhead
Total cost per unit
Total fixed costs
Gross margin
✓ Your answer is correct.
What w ngbird's total fixed costs? If the average selling price was $1.75, how much gross margin did the company generate?
Fixed.com
Total costerunit
Gross margin
eTextbook and Media
Save for Later
$0.10
0.25
$
0.15
$
xed cos
Total cost per unit
0.40
$0.90
If Kingbird incurs exactly the same total fixed costs but produces and sells only 1,600,000 notebooks this coming year, what
happens to the fixed cost per unit? In turn, what would the total cost per unit be? If the average selling price stays at $1.75, how
much gross margin would be earned? (Round per unit answers to 2 decimal places, e.g. 15.25)
Gross margin
eTextbook and Media
800,000
1,700,000
Increased by $
eTextbook and Media
$
$
If Kingbird reworks its equipment layout and processes to increase the top end of its relevant range of activity to 2,500,000
notebooks without incurring more fixed costs, what happens to the fixed cost per unit if it is able to make and sell that larger
Quantity of units? (Round per unit answers to 2 decimal places, eg. 15.25.)
by $
$
per unit
$
per unit
Attempts: 2 of 2 used
per unit
per unit
Attempts: 1 of 2 used Submit Answer
Transcribed Image Text:Current Attempt in Progress The salespeople at Kingbird, a notebook manufacturer, commonly pressured operations managers to keep costs down so the company could give bigger discounts to large customers. Donald, the operations supervisor, leaked the $0.90 total unit cost to salespeople, who were thoedince that was slightly lower than the previous year's unit cost. Budgets were not yet finalized for the upcoming year, so it was unhat the target unit cost would be. Donald knew the current year's operating capacity was two million notebooks, and Kingbirded and sold just that many. The detailed breakdown of the $0.90 total unit cost is as follows. (4) Direct material Direct labor Variable overhead Fixed overhead Total cost per unit Total fixed costs Gross margin ✓ Your answer is correct. What w ngbird's total fixed costs? If the average selling price was $1.75, how much gross margin did the company generate? Fixed.com Total costerunit Gross margin eTextbook and Media Save for Later $0.10 0.25 $ 0.15 $ xed cos Total cost per unit 0.40 $0.90 If Kingbird incurs exactly the same total fixed costs but produces and sells only 1,600,000 notebooks this coming year, what happens to the fixed cost per unit? In turn, what would the total cost per unit be? If the average selling price stays at $1.75, how much gross margin would be earned? (Round per unit answers to 2 decimal places, e.g. 15.25) Gross margin eTextbook and Media 800,000 1,700,000 Increased by $ eTextbook and Media $ $ If Kingbird reworks its equipment layout and processes to increase the top end of its relevant range of activity to 2,500,000 notebooks without incurring more fixed costs, what happens to the fixed cost per unit if it is able to make and sell that larger Quantity of units? (Round per unit answers to 2 decimal places, eg. 15.25.) by $ $ per unit $ per unit Attempts: 2 of 2 used per unit per unit Attempts: 1 of 2 used Submit Answer
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