Provide correct answer this general accounting question Everest Nutrition produces a health supplement. The standard cost of producing one unit is:Cost Component CalculationMaterialAmount(1.50 pounds x $2.50) | $3.75LaborOverhead(1.30 hours $11.00) $14.30??Standard Variable Overhead - $9.50 per unitTotal Fixed Overhead = $120,000• Expected Production = 30,000 unitsActual Production = 35,000 unitsCompute the Standard Overhead Rate per Unit.

Step 1: Define Standard Overhead Rate per UnitThe standard overhead rate per unit is the…

Answered: Everest Nutrition produces a health…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 2EA: Crystal Pools estimates overhead will utilize 250,000 machine hours and cost $750,000. It takes 2...

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Driver Company manufactures two products. Data concern-ing these products are shown below: Direct TotalLabor ManufacturingHours OverheadHighest observed level . . . . . . . 6,000 $17,000Lowest observed level . . . . . . . . 4,000 14,000 Product A Product BTotal monthly demand (in units). . 1,000 200Sales price per unit . . . . . . . . . $400 $500Contribution margin ratio. . . . . 30% 40%Relative sales mix . . . . . . . . . . . 80% 20%If fixed costs are equal to $320,000, what amount of totalsales revenue is needed to break even?a. $914,286. c. $320,000.b. $457,143. d. $1,000,000.
See question in picture . Multiple choice options as follows : A. $4.00 B.$15.00 C. $18.00 D.$60.00
A standard cost card for one unit of a product may look like the following: Direct materials (4 pounds @ $1.25 per pound) $5.00 Direct labor (0.1 DLH @ $18 per hour) 1.80 Variable overhead (0.1 DLH @ $2.00 per hour) 0.20 Fixed overhead (0.1 DLH @ $4.60 per hour) 0.46 Total cost per unit $7.46 The standard cost to produce one unit is $7.46. The standard cost to produce 600 units are $ Of course, this is a simplification as the standard cost does not take fixed and variable costs into account. However, if the firm is producing at or near capacity, then the cost per unit of $7.46 could be multiplied by total units to get total standard cost. The standard cost card gives both unit and cost standards. The direct materials total of $5.00 is based on the use of four pounds of material at $1.25 per pound. Similarly, it should take six minutes (0.1 direct labor hour) to produce one unit. This makes it easy to determine total quantities and cost would be for multiple units. If 400 units were…
Benoit Company produces three products—A, B, and C. Data concerning the three products follow (per unit): Product A B C Selling price $ 90.00 $ 60.00 $ 80.00 Variable expenses: Direct materials 27.00 15.00 9.00 Other variable expenses 27.00 30.00 47.00 Total variable expenses 54.00 45.00 56.00 Contribution margin $ 36.00 $ 15.00 $ 24.00 Contribution margin ratio 40 % 25 % 30 % The company estimates that it can sell 850 units of each product per month. The same raw material is used in each product. The material costs $3 per pound with a maximum of 5,700 pounds available each month. Required: 1. Calculate the contribution margin per pound of the constraining resource for each product. 2. Which orders would you advise the company to accept first, those for A, B, or C? Which orders second? Third? 3. What is the maximum contribution margin that the…
A known manufacturing company has estimated the ff. Component for a new product. Fixed cost= 50,000 Material cost per unit= 2.15 Labor cost per unit = 2 Revenue per unit= 7.50 Vary the production volume from 0 to 100,000 in increments of 10,000. The five different material costs are 1.50,1.95,2.15,2.85 and 3.25. Using the spreadsheet model, what will be the resulting profit if the company decides to make 70,000 units of the new product. Choices: A.623,018 B.176,400 C.45,705 D.No choice given E.138,430
What is the answer here?
The standard cost card for one unit of a finished product shows the following: Standard Quantity or Hours Standard Price or Rate Direct materials 12 feet $ ? per foot $12 per hour $ 8 per hour Direct labor 1.5 hours Variable manufacturing overhead 1.5 hours If the total standard variable cost for one unit of finished product is $78, then the standard price per foot for direct materials is:
Rossiter Fittings produces two models of pipe fittings for underwater lines. The two models (RF-12 and RF-25) have the following characteristics, as developed by a product cost analyst RF-12 RF-25 $ 527 $367 11,997 $ 387 Selling price per unit Variable cost per unit $ 307 Expected units sold per year 3,483 The total fixed costs per year for the company are $1,118,960. Required: a. What is the anticipated level of profits for the expected sales volumes? b. Assuming that the product mix is the same at the break-even point, compute the break-even point in units. c. The head of marketing agrees with the data provided by the cost analyst but believes that the sales of the RF-12 model will be double in units from what the cost analyst predicts. The head of marketing agrees that the total unit volume is likely to be as predicted by the cost analyst. What would be the break-even point of sales in units using the assumptions of the head of marketing?
Yanks Ltd uses the following cost function: Y = $7000 + $8.50X. If the number of units produced in a month is 200, what would be the total cost?
Lazer Tag manufactures computer parts within a relevant range of 50,000 to 100,000 units per year. Complete the following manufacturing cost schedule (a through j) for Lazer Tag. Fill in the following chart. Parts Produced 50,000 100,000 TOTAL COSTS: Variable $75,000 ? Fixed 50,000 ? Total ? ? COSTS PER UNIT: Variable ? ? Fixed ? ? Total ? ?
An organization makes and sells three products, F, G, and H. The products are sold in the proportions F: G:H= 2:1:3. The organization’s fixed costs are $80000 per month and details of the products are as follows.Product Selling price $ per unit Variable cost $ per unitF 22 16G 15 12H 19 13The organization wishes to earn a profit of $52000 next month.Required:Calculate the required sales value of each product in order to achieve this target profit.
A manual assembly line is being designed for a product with annual demand = 100,000 units. The line will operate 50 wks/year, 5 shifts/wk, and 7.5 hr/shift. Work units will be attached to a continuously moving conveyor. Work content time = 42.0 min. Assume line efficiency E = 0.97, balancing efficiency Eb = 0.92, and repositioning time Tr = 6 sec. Determine: (a) hourly production rate to meet demand, (b) number of workers required.

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