Wildhorse Motors is a division of Wildhorse Products Corporation. The division manufactures and sells an electric switch used i wide variety of applications. During the coming year, it expects to sell 210,000 units for $8.00 per unit. Nancy Jackson is the divi manager. She is considering producing either 210,000 or 240,000 units during the period. Other information is as follows: Division Information for 2022 Beginning inventory Expected sales in units Selling price per unit Variable manufacturing cost per unit Fixed manufacturing cost (total) Fixed manufacturing overhead costs per unit Based on 210,000 units Based on 240,000 units Manufacturing cost per unit Based on 210,000 units Based on 240,000 units Variable selling and administrative expenses Fixed selling and administrative expenses (total) 0 210,000 $8.00 $2.30 $504,000 $2.40 per unit ($504,000 ÷ 210,000) $2.10 per unit ($504,000 ÷ 240,000) $4.70 per unit ($2.30 variable + $2.40 fixed) $4.40 per unit ($2.30 variable + $2.10 fixed) $0.35 per unit $12,000

Wildhorse Motors is a division of Wildhorse Products Corporation. The division manufactures and sells an electric switch used i wide variety of applications. During the coming year, it expects to sell 210,000 units for $8.00 per unit. Nancy Jackson is the divi manager. She is considering producing either 210,000 or 240,000 units during the period. Other information is as follows: Division Information for 2022 Beginning inventory Expected sales in units Selling price per unit Variable manufacturing cost per unit Fixed manufacturing cost (total) Fixed manufacturing overhead costs per unit Based on 210,000 units Based on 240,000 units Manufacturing cost per unit Based on 210,000 units Based on 240,000 units Variable selling and administrative expenses Fixed selling and administrative expenses (total) 0 210,000 $8.00 $2.30 $504,000 $2.40 per unit ($504,000 ÷ 210,000) $2.10 per unit ($504,000 ÷ 240,000) $4.70 per unit ($2.30 variable + $2.40 fixed) $4.40 per unit ($2.30 variable + $2.10 fixed) $0.35 per unit $12,000

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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