Last year Quest Company incurred the following costs: Direct materials - $40,000 Direct labor $60,000 - Manufacturing overhead - $90,000 Selling expenses - $24,000 Administrative expenses - $22,000 Quest produced and sold 2,000 units at a sales price of $125 each. Assume that beginning and ending inventories of materials, work in process, and finished goods were zero. What was the gross margin per- unit?

Last year Quest Company incurred the following costs: Direct materials - $40,000 Direct labor $60,000 - Manufacturing overhead - $90,000 Selling expenses - $24,000 Administrative expenses - $22,000 Quest produced and sold 2,000 units at a sales price of $125 each. Assume that beginning and ending inventories of materials, work in process, and finished goods were zero. What was the gross margin per- unit?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 22E: Ellerson Company provided the following information for the last calendar year: During the year,...

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