Kubin Company's relevant range of production is 22,000 to 27,000 units. When it produces and sells 24,500 units, its average costs per unit are as follows: Average Cost per Unit $ 8.20 $ 5.20 $ 2.70 $ 6.20 $ 4.70 $ 3.70 $ 2.20 $ 1.70 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Required: 1. For financial accounting purposes, what is the total amount of product costs incurred to make 24,500 units? 2. For financial accounting purposes, what is the total amount of period costs incurred to sell 24,500 units? 3. For financial accounting purposes, what is the total amount of product costs incurred to make 27,000 units? 4. For financial accounting purposes, what is the total amount of period costs incurred to sell 22,000 units?

Kubin Company's relevant range of production is 22,000 to 27,000 units. When it produces and sells 24,500 units, its average costs per unit are as follows: Average Cost per Unit $ 8.20 $ 5.20 $ 2.70 $ 6.20 $ 4.70 $ 3.70 $ 2.20 $ 1.70 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Required: 1. For financial accounting purposes, what is the total amount of product costs incurred to make 24,500 units? 2. For financial accounting purposes, what is the total amount of period costs incurred to sell 24,500 units? 3. For financial accounting purposes, what is the total amount of product costs incurred to make 27,000 units? 4. For financial accounting purposes, what is the total amount of period costs incurred to sell 22,000 units?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 2PB: The following product costs are available for Kellee Company on the production of eyeglass frames:...

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