Haaikon Company, which has only one product, has provided the following data concerning its most recent month of operations. Selling price $86 Unis in beginning inventory 0 Units produced 3,400 Units sold 3,300 Units in ending inventory 100 Variable cost per unit: Direct materials $17 Direct labor $39 Variable manufacturing overhead $1 Variable selling and admnistrative $8 Fixed cost: Fixed manufacturing overhead $40,800 Fixed selling and administrative $23,100 The total contribution margin for the month under the variable costing approach is: a. $56,100 b. $28,500 c. $95,700 d. $69,300
Haaikon Company, which has only one product, has provided the following data concerning its most recent month of operations. Selling price $86 Unis in beginning inventory 0 Units produced 3,400 Units sold 3,300 Units in ending inventory 100 Variable cost per unit: Direct materials $17 Direct labor $39 Variable manufacturing overhead $1 Variable selling and admnistrative $8 Fixed cost: Fixed manufacturing overhead $40,800 Fixed selling and administrative $23,100 The total contribution margin for the month under the variable costing approach is: a. $56,100 b. $28,500 c. $95,700 d. $69,300
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Haaikon Company, which has only one product, has
provided the following data concerning its most recent
month of operations.
Selling price
$86
Unis in beginning inventory
0
Units produced
3,400
Units sold
3,300
Units in ending inventory
100
Variable cost per unit:
Direct materials
$17
Direct labor
$39
Variable manufacturing overhead $1
Variable selling and admnistrative $8
Fixed cost:
Fixed manufacturing overhead
$40,800
Fixed selling and administrative $23,100
The total contribution margin for the month under the
variable costing approach is:
a. $56,100
b. $28,500
c. $95,700
d. $69,300
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