Pumps Jo pumps started up on 1 Jan 2022. In 20x2 and 20x3 production and sales were as follows. Selling price was $10. The information below relates to production and costs 20x2 Pumps manufactured Pumps sold Selling price Raw materials Other variable costs Fixed costs 11,000 9,000 $10 $14,300 $18,700 $68,200 20x3 10,000 11,000 $10 $13,000 $17,000 $68,200 Required Calculate the gross profit or loss for both years using marginal and absorption costing. Comment of the differences in the results.

Pumps Jo pumps started up on 1 Jan 2022. In 20x2 and 20x3 production and sales were as follows. Selling price was $10. The information below relates to production and costs 20x2 Pumps manufactured Pumps sold Selling price Raw materials Other variable costs Fixed costs 11,000 9,000 $10 $14,300 $18,700 $68,200 20x3 10,000 11,000 $10 $13,000 $17,000 $68,200 Required Calculate the gross profit or loss for both years using marginal and absorption costing. Comment of the differences in the results.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter1: Introduction To Managerial Accounting

Section: Chapter Questions

Problem 3CMA: A firm has 100,000 in direct materials costs, 50,000 in direct labor costs, and 80,000 in overhead....

See similar textbooks

Similar questions

Vandenberg, Inc., produces and sells two products: a ceiling fan and a table fan. Vandenberg plans to sell 40,000 ceiling fans and 70,000 table fans in the coming year. Product price and cost information includes: Ceiling Fan Table Fan Price $56 $17 Unit variable cost $13 $8 Direct fixed cost $21,200 $43,000 Common fixed selling and administrative expenses total $98,000. Required: Question Content Area 1. What is the sales mix estimated for next year (calculated to the lowest whole number for each product)?Sales mix of ceiling fans to table fans = ___________ : ______________ 2. Using the sales mix from Requirement 1, form a package of ceiling fans and table fans. How many ceiling fans and table fans are sold at break-even? Round your intermediate calculations and final answers to the nearest whole number. Break-even ceiling fans _______ Break-even table fans ______ 3. Prepare a contribution-margin-based income…
please help me, thank you
For February the cost components of a picture frame include $0.39 for the glass, $0.60 for the wooden frame, and $0.83 for assembly. The assembly desk and tools cost $650. Two hundred fifty frames are expected to be produced in the coming ver What cost function best represents these costs? OA y-0.99 650X OB ya 650+ 1.82X Oc ye182 +650X OD y 650 + 0.99X O Time Remaining: 01:58:02 Next ) 7. 8 R. 5 %23
Additional information: 200,000 units P50.00 selling price Please help me answer all the requirements. Thank you
Vandenberg, Inc., produces and sells two products: a ceiling fan and a table fan. Vandenbergplans to sell 30,000 ceiling fans and 70,000 table fans in the coming year. Product price and costinformation includes: Ceiling Fan Table FanPrice $60 $15Unit variable cost $12 $7Direct fixed cost $23,600 $45,000Common fixed selling and administrative expenses total $85,000.Required:1. What is the sales mix estimated for next year (calculated to the lowest whole number foreach product)?2. Using the sales mix from Requirement 1, form a package of ceiling fans and table fans.How many ceiling fans and table fans are sold at break-even?3. Prepare a contribution-margin-based income statement for Vandenberg, Inc., based on theunit sales calculated in Requirement 2.4. What if Vandenberg, Inc., wanted to earn operating income equal to $14,400? Calculate thenumber of ceiling fans and table…
Buggs-Off Corporation produces and sells a line of mosquito repellants that are sold usually all year round.The product sells at $100 per box. The following cost data has been prepared for its estimated upper and lowerlimits of activity for the year ended December 31, 2020.Lower Limit Upper LimitProduction (# of boxes) 4,000 6,000Production Costs:Direct Materials …………………… $60,000 $90,000Direct Labour ………………………. 80,000 120,000Overhead:Indirect Materials…………... 25,000 37,500Indirect Labour ……………. 40,000 50,000Depreciation ………………. 20,000 20,000Selling & Administrative Expenses:Sales Salaries ……………………… 50,000 65,000Office Salaries ……………………… 30,000 30,000Advertising ………………………….. 45,000 45,000Other …………………………………………. __15,000 __20,000Total $365,000 $477,500 Required:a) Classify each cost element as either fixed, variable, or mixed
/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress-false McCallen Company expects to produce and sell 500 units in the next month. The data on costs are as follows: Per-unit costs: Selling price $8.00 Variable manufacturing costs 2.75 Variable selling costs 0.25 Total costs: Fixed manufacturing costs $1,000 Fixed selling costs 125 Required: A. What is the variable cost per unit? B. What is the contribution margin per unit? C. What is the variable cost ratio? Round your answer to one decimal place. % D. What is the contribution margin ratio? Round your answer to one decimal place.
Vandenberg, Inc., produces and sells two products: a ceiling fan and a table fan. Vandenberg plans to sell 40,000 ceiling fans and 50,000 table fans in the coming year. Product price and cost information includes: Ceiling Fan Table Fan Price $52 $15 Unit variable cost $12 $9 Direct fixed cost $25,200 $48,000 Common fixed selling and administrative expenses total $78,000.See screenshots
es Alpena Corporation manufactures smartphone and tablet cases. The following is the cost of each unit. $ 7.35 2.95 0.95 11.70 $ 22.95 Mc Graw Hill ! 1 Materials Labor Variable overhead Fixed overhead ($1,755,000 per year; 150,000 units per year) Total Decatur Devices has approached Alpena with an offer to buy 3,000 cases at a price of $17.80 each for its new specialty tablet designed for health care workers. The regular price of an Alpena case is $26.50. Alpena has the total capacity to produce 180,000 units without increasing its fixed overhead. Decatur Devices requires that each case use its branding, which requires a more expensive embossing step. This will result in an additional $2.85 per case labor cost. The material cost of of the Decatur case will be the same as for the current models. The Decatur order will also require a one-time rental of embossing equipment for $6,549. Q A Required: a. Prepare a schedule to show the impact of filling the Decatur Devices order on Alpena's…
Fast Track Auto produces and sells an auto part for S65 per unit. In 2020, 125,000 parts were produced and 80,000 units were sold. Other information for the year includes: Direct Materials $20 per unit Direct manufacturing labor $5 per unit Variable manufacturing costs $3 per unit Sales commissions $6 per part Fixed Manufacturing costs $790,000 per year Administrative expenses, all fixed $320,000 per year What is the inventoriable cost per unit using absorption costing? A. $28.00 B. $36.88 C. $34.32 D. $34.00
Buggs-Off Corporation produces and sells a line of mosquito repellants that are sold usually all year round. The product sells at $100 per box. The following cost data has been prepared for its estimated upper and lower limits of activity for the year ended December 31, 2020. Lower Limit Upper Limit Production (# of boxes) 4,000 6,000Production Costs:Direct Materials …………$60,000 $90,000Direct Labour …................. $80,000 $120,000Overhead:Indirect Materials…………... $25,000 $ 37,500Indirect Labour ……………. $40,000 $50,000Depreciation ………………. $20,000 $20,000Selling & Administrative Expenses:Sales Salaries ……………………$50,000 $65,000Office Salaries …………………$30,000 $30,000Advertising …………………… $ 45,000 $45,000Other ………………………………$415,000 $20,000Total…
Help me please