Fill in the missing amounts in each of the eight case situations below. Each case is independent of the others. (Hint: One way to find the missing amounts would be to prepare a contribution format income statement for each case, enter the known data, and then compute the missing items.)
Required:
a. Assume that only one product is being sold in each of the four following case situations:
b. Assume that more than one product is being sold in each of the four following case situations:
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- Required A
- Required B
Assume that only one product is being sold in each of the four following case situations: (Loss amounts should be indicated by a minus sign.)
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- Fill in the missing amounts in each of the eight case situations below. Each case is independent of the others. (Hin the missing amounts would be to prepare a contribution format income statement for each case, enter the known compute the missing items.) Required: a. Assume that only one product is being sold in each of the four following case situations: b. Assume that more than one product is being sold in each of the four following case situations: Complete this question by entering your answers in the tabs below. Required A Required B Assume that only one product is being sold in each of the four following case situations: Units sold Sales Variable expenses Fixed expenses Net operating income (loss) Contribution margin per unit $ Case 1 15,000 180,000 120,000 50,000 Case 2 $ 100,000 $ $ 32,000 8,000 $ 10 $ Case 3 10,000 70,000 $ 12,000 $ 13 Case 4 6,000 300,000 100,000 (10,000)arrow_forwardDorsey Company manufactures three products from a common input in a joint processing operation. Joint processing costs up to the split-off point total $340,000 per quarter. For financial reporting purposes, the company allocates these costs to the joint products on the basis of their relative sales value at the split-off point. Unit selling prices and total output at the split-off point are as follows: Product Selling Price A B C Product A $18.00 per pound. $ 12.00 per pound $24.00 per gallon Each product can be processed further after the split-off point. Additional processing requires no special facilities. The additional processing costs (per quarter) and unit selling prices after further processing are given below: B C Additional Processing Costs $ 66,090 $ 94,655 $ 39,460 Quarterly Output 12,600 pounds 19,700 pounds 3,800 gallons Selling Price $ 22.90 per pound $17.90 per pound $31.90 per gallon Required: 1. What is the financial advantage (disadvantage) of further processing each…arrow_forwardEach incorrect answer cancels out each correcr one. Indicate which of the following statements are true(T) or false (F). Indirect costs are those factors whose increase or decrease is not related to changes in the activity, so that in the short term they must be considered fixed.Cost Accounting studies the resources or productive factors applied to production, so it requires data expressed in physical units (hours, Kilograms, liters etc...) in addition to their monetary value.The fuel consumed by commercial venicles must be assigned as indirect manufacturing cost. This is because it is not possible to do it directly. The warehousing costs refer to the set of activities related to the management of purchases and warehouses, and do not include the acquisition value of this materials.When 50.000 units are produced, the fixed cost is $10 per unit. Therefore, when 100.000 units are produced fixed costs will remain at $10 per unit.The budgeted allocation rate is calculated by dividing the…arrow_forward
- shobhaarrow_forwardFill in the missing amounts in each of the eight case situations below. Each case is independent of the others. Required: a. Assume that only one product is being sold in each of the four following case situations: b. Assume that more than one product is being sold in each of the four following case situations: Complete this question by entering your answers in the tabs below. Required A Required B Assume that more than one product is being sold in each of the four following case situations: (Loss amounts should be indicated by a minus sign.) Sales Variable expenses Fixed expenses Net operating income (loss) Contribution margin ratio (percent) $ $ Case 1 444,000 64,600 40 % < $ Required A Case 2 196,000 125,440 55,000 % $ Case 3 475,000 118,880 Required B 84 % $ Case 4 309,000 98,880 $ (10,880) %arrow_forwardAll other things being equal, a company that sells multiple products should attempt to structure its sales mix so the greatest portion of the mix is composed of those products with the highest: a. Selling price. b. Fixed costs. c. Gross profit/margin per unit. d. Cost of goods sold. e. Quantity/unit sold.arrow_forward
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