3. Cole Co. plans to sell 12,000 units per month. The estimated units costs for Cole Co. are as follows: Cost Item Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling Fixed selling Estimated Unit Cost $32 20 15 6 3 4 a. What is Cole's estimated total variable costs per unit? 70 b. Suppose Cole estimates to produce 12,000 units and sell 8,000 units during a month. What are Cole's estimated total costs?

3. Cole Co. plans to sell 12,000 units per month. The estimated units costs for Cole Co. are as follows: Cost Item Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling Fixed selling Estimated Unit Cost $32 20 15 6 3 4 a. What is Cole's estimated total variable costs per unit? 70 b. Suppose Cole estimates to produce 12,000 units and sell 8,000 units during a month. What are Cole's estimated total costs?

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter7: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 26BEB: Variable Cost Ratio, Contribution Margin Ratio Chillmax Company plans to sell 3,500 pairs of shoes...

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