Raghu manufacturing has sales of Raghu Manufacturing has sales of$2,450,000 with direct materials cost of$265,000, direct labor of $389,000,variable overhead of $125,000, and fixedcosts of $328,500.What is Raghu's contribution margin rate?

Concept of Sales RevenueSales revenue is the total income generated from selling goods or services…

Answered: Raghu Manufacturing has sales of…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 8EA: Suppose that a company has fixed costs of $18 per unit and variable costs $9 per unit when 15,000...

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Rose Company has a relevant range of production between 10,000 and 25.000 units. The following cost data represents average cost per unit for 15,000 units of production. Using the cost data from Rose Company, answer the following questions: If 10,000 units are produced, what is the variable cost per unit? If 18,000 units are produced, what is the variable cost per unit? If 21,000 units are produced, what are the total variable costs? If 11,000 units are produced, what are the total variable costs? If 19,000 units are produced, what are the total manufacturing overhead costs incurred? If 23,000 units are produced, what are the total manufacturing overhead costs incurred? If 19,000 units are produced, what are the per unit manufacturing overhead costs incurred? If 25,000 units are produced, what are the per unit manufacturing overhead costs incurred?
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Raghu Manufacturing has sales of $2,450,000 with direct materials cost of $265,000, direct labor of $389,000, variable overhead of $125,000, and fixed costs of $328,500. What is Raghu's contribution margin rate?