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Lillibridge & Friends, Incorporated provides you with the following data for its single product: Sales price per unit $ 170   Fixed costs (per quarter):     Selling, general, and administrative (SG&A) 1,500,000   Manufacturing overhead 4,500,000   Variable costs (per unit):     Direct labor 20   Direct materials 23   Manufacturing overhead 21   SG&A 17   Number of units produced per quarter 500,000 units Required: Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places.

Lillibridge & Friends, Incorporated provides you with the following data for its single product: Sales price per unit $ 170   Fixed costs (per quarter):     Selling, general, and administrative (SG&A) 1,500,000   Manufacturing overhead 4,500,000   Variable costs (per unit):     Direct labor 20   Direct materials 23   Manufacturing overhead 21   SG&A 17   Number of units produced per quarter 500,000 units Required: Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Lillibridge & Friends, Incorporated provides you with the following data for its single product:

Sales price per unit $ 170  
Fixed costs (per quarter):    
Selling, general, and administrative (SG&A) 1,500,000  
Manufacturing overhead 4,500,000  
Variable costs (per unit):    
Direct labor 20  
Direct materials 23  
Manufacturing overhead 21  
SG&A 17  
Number of units produced per quarter 500,000 units

Required:

Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter.

Note: Do not round intermediate calculations. Round your answers to 2 decimal places.

Required: Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a. Prime cost per unit b. Contribution margin per unit c. Gross margin per unit d. Conversion cost per unit e. Variable cost per unit f. Full absorption cost per unit g. Variable production cost per unit h. Full cost per unit 500,000 units 600,000 units 43.00 89.00 97.00 $ $ $ $ 43.00 $ 89.00 $ 97.00 $ 81.00 $ 81.00
Transcribed Image Text:Required: Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a. Prime cost per unit b. Contribution margin per unit c. Gross margin per unit d. Conversion cost per unit e. Variable cost per unit f. Full absorption cost per unit g. Variable production cost per unit h. Full cost per unit 500,000 units 600,000 units 43.00 89.00 97.00 $ $ $ $ 43.00 $ 89.00 $ 97.00 $ 81.00 $ 81.00
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