Table shows information related to cost incurred to produce 500 units. (All values in OMR) Total Amount in OMR Direct Materials 6000 Insurance of factory building 1000 Salary of production manager 1500 Direct Labor 9000 Power 2500 Royalties Rent of factory building 500 4000 Normal Spoilage 250 On the basis of above information, what will be the estimated cost to produce 2000 units? Select one: a. None of the option b. OMR 79500 Oc. OMR 90500 d. OMR 99000

Table shows information related to cost incurred to produce 500 units. (All values in OMR) Total Amount in OMR Direct Materials 6000 Insurance of factory building 1000 Salary of production manager 1500 Direct Labor 9000 Power 2500 Royalties Rent of factory building 500 4000 Normal Spoilage 250 On the basis of above information, what will be the estimated cost to produce 2000 units? Select one: a. None of the option b. OMR 79500 Oc. OMR 90500 d. OMR 99000

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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Table shows information related to cost incurred to produce 500 units. (All values in OMR) Total Amount in OMR Direct Materials 6000 Insurance of factory building 1000 Salary of production manager 1500 Direct Labor 9000 Power 2500 Royalties 500 Rent of factory building 4000 Normal Spoilage 250 On the basis of above information, what will be the estimated cost to produce 2000 units? Select one: a. None of the option O b. OMR 79500 O c. OMR 90500 O d. OMR 99000
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The internal manufacturing cost per unit of a component is as follows – Direct Material $5.00 Direct Labour $10.00 Fixed costs $15.00 Total costs $30.00 (a) Given the information above, if the company buys the component, it would however have to pay $17.00, but would still have to meet its fixed cost. Should the company make or buy the component? (b) Based on your answer in (a) above name two factors that can influence the company to buy the product. 2. (a) Describe two (2) methods for allocating support costs to departments. (b) Explain why support costs are allocated to departments. Please answer question 2 thank you very much.
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akeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false Up eBook Show Me How Print Item High-Low Method Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the total cost. The data for various levels of production are as follows: Units Produced Total Costs 80,000 $25,100,000 92,000 27,206,000 120,000 32,120,000 a. Determine the variable cost per unit and the total fixed cost. Variable cost (Round to two decimal places.) %24 per unit Total fixed cost b. Based on part (a), estimate the total cost for 115,000 units of production. Total cost for 115,000 units Check My Work 4 more Check My Work uses remaining. Previous Next
The following activity and cost data that were provided by Hoist Corporation would help in estimating its future maintenance costs: Units Maintenance cost P1,350 7. P1,590 11 P1,920 15 P2.100 Using the least squares regression method to estimates the cost formula, the expected total cost for an activity level of 10 units would be closest to (nearest peso) e.g. 1405.688888, Type 1406 3.
Problem 6-18 (Algo) Relevant Cost Analysis in a Variety of Situations [LO6-2, LO6-3, LO6-4] Andretti Company has a single product called a Dak. The company normally produces and sells 87,000 Daks each year at a selling price of $60 per unit. The company's unit costs at this level of activity are given below: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses Total cost per unit $ 7.50 8.00 2.90 5.00 ($435,000 total) 2.70 2.50 ($217,500 total) $28.60 A number of questions relating to the production and sale of Daks follow. Each question is independent. Required: 1-a. Assume that Andretti Company has sufficient capacity to produce 113,100 Daks each year without any increase in fixed. manufacturing overhead costs. The company could increase its unit sales by 30% above the present 87,000 units each year if it were willing to increase the fixed selling expenses by $110,000. What is the financial…