e variable selling cost is £3 per unit. Fixed administrative and other operating expenses are £3,000,000 per year. Ansell

Q: The following information are available for X Corp: (The company uses actual costing). What is the…

A: Beginning inventory for 2020 is equal to ending inventory of 2019. Sales = opening inventory +…

Q: Shalom Company manufactures socks that sell for P60 each. For the coming year, the management…

A: Contribution Margin is the amount that is arrived at after all the variable expenses of…

Q: A company sells 4100 units of a product at 15 JOD per unit, which costs the company JOD 12 to…

A: Markup: The markup is the difference between the selling price of a product or service and the cost…

Q: Spice Inc.'s unit selling price is $51, the unit variable costs are $38, fixed costs are $102,000,…

A: Formula: Contribution margin = Selling price - variable cost

Q: A firm expects to sell 25,200 units of its product at $7 per unit. Pretax income is predicted to be…

A: Fixed costs are those expense or cost, which remain the same or constant for a particular period and…

Q: Jasmine Incorporated sells a product for $61 per unit. Variable costs per unit are $31, and fixed…

A: Break Even Point - It Is The Point Of Production Where Total Costs Is Equal To Total Revenue. At…

Q: Carla Vista Company sells its product for $10400 per unit. Variable costs per unit are:…

A: Variable costing or direct costing is a method that is used to allocate the variable cost to the…

Q: A company produces a product with variable costs of $2.50 per unit. The product sells for $5.00 per…

A: Answer -    Sales Level to achieve the desired Target income =  (Fixed Cost + Targeted Income) /…

Q: Alpha Company’s Manager is considering selling price for product C. The company is using Absortion…

A: Absorption Costing:   The absorption costing method is used by the companies to calculate the costs…

Q: Draw up a marginal cost statement on the basis that 12,000 units will be sold and calculate the net…

A: 1. Breakeven point is the point where there is no profit and loss. At this point the company has…

Q: For XYZ Company, how many units of their product would have to be sold to yield a target operating…

A: Break-even analysis is a technique widely used by the production department. It helps to determine…

Q: Freda Ltd is launching a new product and plans to use a target costing approach. Freda have assessed…

A: Target costing is a type of costing in which desired cost is being estimated and targeted and then…

Q: A firm expects to sell 25,400 units of its product at $14 per unit. Income is predicted to be…

A: A constant cost is something that does not change in response to activities. It must be paid on a…

Q: Willie Company sells 28,000 units at $36 per unit. Variable costs are $20.16 per unit, and fixed…

A: The Break-even point is that level of sales, where the total cost i.e variable and fixed both are…

Q: The Atlantic Company sells a product with a break-even point of 4,643 sales units. The variable cost…

A: Breakeven point is the point where the total contribution generated from sale is just equal to the…

Q: Martin Company uses the absorption costing approach to cost-plus pricing. It is considering the…

A: Markup Percentage will be computed using the following formulae : Markup percentage = Desired…

Q: For XYZ Company, how many units of their product would have to be sold to yield a target operating…

A: In order to arrive at the sales required to be made for earning desired/ targeted amount of income,…

Q: Assume that a company uses the absorption costing approach to cost-plus pricing. It is considering…

A: SOLUTION- Markup Percentage will be computed using the following formulae : Markup percentage =…

Q: Blossom Company sells its product for $11000 per unit. Variable costs per unit are: manufacturing,…

A: Formula: Net profit = Revenues - expenses.

Q: The manufacturer of a product that has a variable cost of $2.50 per unit and total fixed cost of…

A: The break-even point (BEP) appears to be an accounting term that refers to the point where a…

Q: The manufacturer of a product that has a variable cost of $2.60 per unit and total fixed cost of…

A: 1. To break even, the total cost must equal the total revenue. The unit contribution margin is the…

Q: XYZ Inc. sells a product for OMR 2.5 per unit. The variable cost is OMR 1.7 per unit, and fixed…

A: The break-even point is a point at which the total cost is equal to the total revenue. In other…

Q: Management believes it can sell a new product for $6.50. The fixed costs of production are estimated…

A: a )Given that: Selling price= $6.50.  Fixed costs of production= $5,500, and the Variable costs =…

Q: During 2020, X corp produced 70,000 units and sold 65,000 units at 50 per unit. Variable…

A: Lets understand the basics. There are generally two methods are followed which are, (1) Variable…

Q: A product has a prime cost of £15, variable overhead of £5 per unit and fixed overheads of £8 per…

A: Prime cost is the cost that includes the cost incurred on the direct material and direct labor. This…

Q: 4. If the marginal cost is $6.50 per unit, fixed costs to $70 000 per annum, and the selling price…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: Currently, the unit selling price of a product is $750, the unit variable cost is $600, and the…

A: Given that: Selling price per unit = $750 per unit Unit variable cost = $600 per unit Fixed costs =…

Q: A company makes a product with a selling price of $20 per unit and variable costs of $12 12 per…

A: Calculate contribution margin per unit:

Q: Management believes it can sell a new product for $9.00. The fixed costs of production are estimated…

A: Filling the Production Cost Table:QuantityTotal RevenueVariable CostsFixed CostsTotal CostsProfits…

Q: (Unless otherwise stated, consider each requirement separately.)     e. What questions would have to…

A: Operating income refers to the sum value of money gained by an entity through its daily business…

Q: In the year 2020, kim plastics sold 100,000 units of its product. Selling price per unit was 100.…

A: Operating income: Operating income is the amount of revenue realized from the operations of the…

Q: You have the following information about a company in 2021: Total Costs were $174.7 million. Assume…

A: Total costs in 2021 = $174.7 MVariable cost ratio = 60%Increase in total cost = 5% above 2021Sales…

Q: Use the information provided below to answer the following questions independently: 3.2.1 If…

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

Q: For the coming year, Cleves Company anticipates a unit selling price of $142, a unit variable cost…

A: Note: Hi! Thank you for the question, As per the honor code, we are allowed to answer three…

Q: A company makes a product with a selling price of $20 per unit and variable costs of $ 9 per unit.…

A: Contribution Margin Per Unit :— It is the difference of Selling Price and variable cost per unit.…

Q: Dirth Company sells only one product at a regular price of £7.50 per unit. Variable expenses are 60…

A: The break-even point is the point where the total cost and the total sales or revenue are equal and…

Q: Halifax Products sells a product for $118. Variable costs per unit are $67, and monthly fixed costs…

A: Following are the answers to the given questions

Q: product is priced to sell for $12 with average variable costs of $8. The company expects to ear a…

A: The company may need to evaluate what are the units it requires to sell to earn the target return.…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.