Last year, Dever Furniture Co. produced 200 maple dressers (pattern 427) that sold for Rs. 210 each. The company included labour costs of Rs. 42 per unit and material costs of Rs.18 per unit, and it allocated Rs. 80 per unit of overhead costs to each dresser. Cost records reveal that overhead costs are 60 per cent fixed and 40 per cent variable. What was the total annual contribution from pattern 427?
Last year, Dever Furniture Co. produced 200 maple dressers (pattern 427) that sold for Rs. 210 each. The company included labour costs of Rs. 42 per unit and material costs of Rs.18 per unit, and it allocated Rs. 80 per unit of overhead costs to each dresser. Cost records reveal that overhead costs are 60 per cent fixed and 40 per cent variable. What was the total annual contribution from pattern 427?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Last year, Dever Furniture Co. produced 200 maple dressers (pattern 427) that sold for Rs. 210 each. The company included labour costs of Rs. 42 per unit and material costs of Rs.18 per unit, and it allocated Rs. 80 per unit of overhead costs to each dresser. Cost records reveal that overhead costs are 60 per cent fixed and 40 per cent variable. What was the total annual contribution from pattern 427?
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