3 Kubin Company's relevant range of production is 28,000 to 31,500 units. When it produces and sells 29,750 units, its average costs per unit are as follows: Average Cost per Unit $ 8.80 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense $ 5.80 $ 3.30 $ 6.80 $ 5.30 $ 4.30 $ 2.80 $ 2.30 Exercise 1-8 (Algo) Product Costs and Period Costs; Variable and Fixed Costs [LO1-3, LO1-4] Required: 1 For financial accounting purposes, what is the total amount of product costs incurred to make 29,750 units? For financial accounting purposes, what is the total amount of period costs incurred to sell 29,750 units? For financial accounting purposes, what is the total amount of product costs incurred to make 31,500 units? . For financial accounting purposes, what is the total amount of period costs incurred to sell 28,000 units? (For all requirements, do not round intermediate calculations.) 1. Total amount of product cost Total amount of period cost incurred Total amount of product cost Total amount of period cost
3 Kubin Company's relevant range of production is 28,000 to 31,500 units. When it produces and sells 29,750 units, its average costs per unit are as follows: Average Cost per Unit $ 8.80 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense $ 5.80 $ 3.30 $ 6.80 $ 5.30 $ 4.30 $ 2.80 $ 2.30 Exercise 1-8 (Algo) Product Costs and Period Costs; Variable and Fixed Costs [LO1-3, LO1-4] Required: 1 For financial accounting purposes, what is the total amount of product costs incurred to make 29,750 units? For financial accounting purposes, what is the total amount of period costs incurred to sell 29,750 units? For financial accounting purposes, what is the total amount of product costs incurred to make 31,500 units? . For financial accounting purposes, what is the total amount of period costs incurred to sell 28,000 units? (For all requirements, do not round intermediate calculations.) 1. Total amount of product cost Total amount of period cost incurred Total amount of product cost Total amount of period cost
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Kubin Company's relevant range of production is 28,000 to 31,500 units. When it produces and sells 29,750 units, its
average costs per unit are as follows:
Average
Cost per
Unit
$ 8.80
Direct materials
Direct labor
Variable manufacturing overhead
Fixed manufacturing overhead
Fixed selling expense
Fixed administrative expense
Sales commissions
Variable administrative expense
$ 5.80
$ 3.30
$ 6.80
$ 5.30
$ 4.30
$ 2.80
$ 2.30
Exercise 1-8 (Algo) Product Costs and Period Costs; Variable and Fixed Costs [LO1-3, LO1-4]
Required:
1 For financial accounting purposes, what is the total amount of product costs incurred to make 29,750 units?
For financial accounting purposes, what is the total amount of period costs incurred to sell 29,750 units?
For financial accounting purposes, what is the total amount of product costs incurred to make 31,500 units?
. For financial accounting purposes, what is the total amount of period costs incurred to sell 28,000 units?
(For all requirements, do not round intermediate calculations.)
1. Total amount of product cost
Total amount of period cost incurred
Total amount of product cost
Total amount of period cost](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F788561f3-d02f-41b1-aa9b-5c796f68e15f%2F8dc6079b-3cd4-4a90-ac9b-68b8181db211%2F24ke3xn_processed.png&w=3840&q=75)
Transcribed Image Text:3
Kubin Company's relevant range of production is 28,000 to 31,500 units. When it produces and sells 29,750 units, its
average costs per unit are as follows:
Average
Cost per
Unit
$ 8.80
Direct materials
Direct labor
Variable manufacturing overhead
Fixed manufacturing overhead
Fixed selling expense
Fixed administrative expense
Sales commissions
Variable administrative expense
$ 5.80
$ 3.30
$ 6.80
$ 5.30
$ 4.30
$ 2.80
$ 2.30
Exercise 1-8 (Algo) Product Costs and Period Costs; Variable and Fixed Costs [LO1-3, LO1-4]
Required:
1 For financial accounting purposes, what is the total amount of product costs incurred to make 29,750 units?
For financial accounting purposes, what is the total amount of period costs incurred to sell 29,750 units?
For financial accounting purposes, what is the total amount of product costs incurred to make 31,500 units?
. For financial accounting purposes, what is the total amount of period costs incurred to sell 28,000 units?
(For all requirements, do not round intermediate calculations.)
1. Total amount of product cost
Total amount of period cost incurred
Total amount of product cost
Total amount of period cost
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Step 1: Introduce to product cost and period cost
VIEWStep 2: Working for fixed manufacturing overhead, fixed selling and fixed administrative expenses
VIEWStep 3: Working for variable product cost per unit and variable period cost per unit
VIEWStep 4: Working for product cost at 29,750 and 31,500 units
VIEWStep 5: Working for period cost at 29,750 and 28,000 units
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