32. Purvis Company manufactures a product that has varlable cost of P50 per unit Firetcosts total P1,000,000, allocated on the basis of the number of units produced. Selineprice is computed by adding 10% markup'to full cost. How much should the seprice be per unit for 100,000 units?Р55а.C.P61-b. P60d. P66(aicpa)The next two questions are based on the following information:Ryan Company produces a single product. The cost is composed ofVariable raw materials costVariable direct labor costTotal variable costP 7545Р120Fixed annual overhead expenseP450,000It is the pricing policy of the company to set its selling price per unit based on full costplus 10% markup,33. If the company's selling potential is 200,000 units, the selling price per unit to be se: upsa.P122.25b. P138.44c. P134.84.d. P134.4834. If the company's pricing policy is changed to 20% based on fullcostand it seiling potentsis increased by 300,000 units with a corresponding increase in annual fixed overheadsto P600,000, the selling price to bet up isa. P154.44b. P145.44P121.20d.С.P145.54

Variable cost means the cost which vary with the level of output where as fixed cost remain fixed…

32. Purvis Company manufactures a product that has variable cost of P50 per unit F costs total P1,000,000, allocated on the basis of the number of units produuced. Seling price is computed by adding 10% markup'to full cost. How much should the selling price be per unit for 100,000 units? P55 C. P61 a. b. P60 d. P66 (aicpa)

32. Purvis Company manufactures a product that has variable cost of P50 per unit F costs total P1,000,000, allocated on the basis of the number of units produuced. Seling price is computed by adding 10% markup'to full cost. How much should the selling price be per unit for 100,000 units? P55 C. P61 a. b. P60 d. P66 (aicpa)

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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