Survivor Corporation produced 8,500 units and incurred the following cost:Direct materialsDirect laborVariable manufacturing overheadFixed manufacturing overheadSales commissionsVariable administrative expenseFixed selling and administrative expenseDetermine the following:1. Total direct manufacturing cost =2. Total indirect manufacturing cost =Cost perUnitP 5.00P 3.20P 1.30P 1.10P 0.30Cost perPeriodP 127,500P 38,250

Requirement;-1 Direct manufacturing costs:- which are directly identified with a product or service…

Answered: Determine the following: 1. Total…

Business

Accounting

Determine the following: 1. Total direct manufacturing cost = 2. Total indirect manufacturing cost =

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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Concept explainers

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.

Question

Survivor Corporation produced 8,500 units and incurred the following cost:
Direct materials
Direct labor
Variable manufacturing overhead
Fixed manufacturing overhead
Sales commissions
Variable administrative expense
Fixed selling and administrative expense
Determine the following:
1. Total direct manufacturing cost =
2. Total indirect manufacturing cost =
Cost per
Unit
P 5.00
P 3.20
P 1.30
P 1.10
P 0.30
Cost per
Period
P 127,500
P 38,250

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