Complete the cost schedule below. When computing the cost per unit, round to two decimal places. Round all other values to the nearest dollar.
Variance Analysis
In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.
Standard Costing
The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.
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Relevant Range and Costs that tend to remain the same in amount, regardless of variations in the level of activity.Fixed and Costs that vary in total dollar amount as the level of activity changes.Variable Costs
Vogel Inc. manufactures memory chips for electronic toys within a relevant range of 100,800 to 165,600 memory chips per year. Within this range, the following partially completed
manufacturing cost schedule has been prepared:Components produced 100,800 128,800 165,600 Total costs: Total variable costs . . . . . . . . . $41,328 (d) (j) Total fixed costs . . . . . . . . . . . . 46,368 (e) (k) Total costs . . . . . . . . . . . . . . . . . $87,696 (f) (l) Cost per unit: Variable cost per unit . . . . . . . (a) (g) (m) Fixed cost per unit . . . . . . . . . . (b) (h) (n) Total cost per unit . . . . . . . . . . (c) (i) (o) Complete the cost schedule below. When computing the cost per unit, round to two decimal places. Round all other values to the nearest dollar.
Cost Report Components produced 100,800 128,800 165,600 Total costs: Total variable costs $41,328 (d) $ (j) $ Total fixed costs 46,368 (e) (k) Total costs $87,696 (f) $ (l) $ Cost per Unit Variable cost per unit (a) $ (g) $ (m) $ Fixed cost per unit (b) (h) (n) Total cost per unit (c) $ (i) $ (o) $
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