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Rose Company has a relevant range of prese

Rose Company has a relevant range of prese

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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EA5. LO 2.2 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. Direct materials Direct labor Indirect materials Fixed manufacturing overhead Variable manufacturing overhead Fixed selling and administrative expenses Variable sales commissions Average Cost per Unit $12 10 2 4 05169 ans 3 8 25 Using the cost data from Rose Company, answer the following questions: A. If 10,000 units are produced, what is the variable cost per unit? B. If 18,000 units are produced, what is the variable cost per unit? C. If 21,000 units are produced, what are the total variable costs? If 11,000 units are produced, what are the total variable costs? D. E. If 19,000 units are produced, what are the total manufacturing overhead costs incurred? F. If 23,000 units are produced, what are the total manufacturing overhead costs incurred? G. If 19,000 units are produced, what are the per unit manufacturing overhead costs incurred? H. If 25,000 units are produced, what are the per unit manufacturing overhead costs incurred?
Transcribed Image Text:EA5. LO 2.2 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. Direct materials Direct labor Indirect materials Fixed manufacturing overhead Variable manufacturing overhead Fixed selling and administrative expenses Variable sales commissions Average Cost per Unit $12 10 2 4 05169 ans 3 8 25 Using the cost data from Rose Company, answer the following questions: A. If 10,000 units are produced, what is the variable cost per unit? B. If 18,000 units are produced, what is the variable cost per unit? C. If 21,000 units are produced, what are the total variable costs? If 11,000 units are produced, what are the total variable costs? D. E. If 19,000 units are produced, what are the total manufacturing overhead costs incurred? F. If 23,000 units are produced, what are the total manufacturing overhead costs incurred? G. If 19,000 units are produced, what are the per unit manufacturing overhead costs incurred? H. If 25,000 units are produced, what are the per unit manufacturing overhead costs incurred?
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