Manufacturing Costs: Variable Manufacturing Costs: Direct Materials P 10 per unit 5 Direct Labor Overhead 20 Total Variable Manufacturing Costs P 35 per unit Fixed Manufacturing Costs P 25,000 Selling & Administrative Costs: Variable P25 per unit Fixed P 15,000 The owner's investment for this business is P560,000 and he expects to receive 15.0%.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
100%
Give me answer within an hour I will give you positive rating immediately ..its very urgent .. Thankyou...... Plz do all 4 parts otherwise I will give you down vote
Activity 4. Cost-plus Pricing
The following costs are incurred in manufacturing 4,000 units of moon cakes:
Manufacturing Costs:
Variable Manufacturing Costs:
Direct Materials
P 10 per unit
Direct Labor
5
Overhead
20
Total Variable Manufacturing Costs
P 35 per unit
Fixed Manufacturing Costs
P 25,000
Selling & Administrative Costs:
Variable
P25 per unit
P 15,000
Fixed
The owner's investment for this business is P560,000 and he expects to receive a return of
15.0%.
Required: Compute for the following:
(1) Total cost base per unit
(2) Desired mark-up per unit
(3) Mark-up percentage
(4) Target selling price per unit
Transcribed Image Text:Activity 4. Cost-plus Pricing The following costs are incurred in manufacturing 4,000 units of moon cakes: Manufacturing Costs: Variable Manufacturing Costs: Direct Materials P 10 per unit Direct Labor 5 Overhead 20 Total Variable Manufacturing Costs P 35 per unit Fixed Manufacturing Costs P 25,000 Selling & Administrative Costs: Variable P25 per unit P 15,000 Fixed The owner's investment for this business is P560,000 and he expects to receive a return of 15.0%. Required: Compute for the following: (1) Total cost base per unit (2) Desired mark-up per unit (3) Mark-up percentage (4) Target selling price per unit
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Bond Credit Rating
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education