Skull Company makes snowboards and uses the total cost method in setting product price. Its costs for producing 14,000 units follow.The company targets a 15.0% markup on total cost.Variable Costs per UnitDirect materials$ 108Direct labor33Overhead28Selling, general and administrative9Fixed Costs (total)$ 478,000446, 000OverheadSelling, general and administrative1. Compute the total cost per unit if 14,000 units are produced.2. Compute the dollar markup per unit.3. Compute the selling price per unit.(For all requirements, round your final answers to the nearest dollar amounts.)1.Total cost per unit2.Markup per unit3Selling price per unit

Total cost = Total Variable cost+ Total Fixed cost Total cost per unit = Total cost / Number of…

Skull Company makes snowboards and uses the total cost method in setting product price. Its costs for producing 14,000 units follow. The company targets a 15.0% markup on total cost. Variable Costs per Unit Direct materials $ 108 Direct labor 33 Overhead 28 Selling, general and administrative Fixed Costs (total) Overhead $ 478,000 Selling, general and administrative 446, 000 1. Compute the total cost per unit if 14,000 units are produced. 2. Compute the dollar markup per unit. 3. Compute the selling price per unit. (For all requirements, round your final answers to the nearest dollar amounts.) 1. Total cost per unit 2. Markup per unit 3. Selling price per unit

Skull Company makes snowboards and uses the total cost method in setting product price. Its costs for producing 14,000 units follow. The company targets a 15.0% markup on total cost. Variable Costs per Unit Direct materials $ 108 Direct labor 33 Overhead 28 Selling, general and administrative Fixed Costs (total) Overhead $ 478,000 Selling, general and administrative 446, 000 1. Compute the total cost per unit if 14,000 units are produced. 2. Compute the dollar markup per unit. 3. Compute the selling price per unit. (For all requirements, round your final answers to the nearest dollar amounts.) 1. Total cost per unit 2. Markup per unit 3. Selling price per unit

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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