Stand-alone revenue allocation. Magic Systems, Inc., sells computer hardware to end consum- ers. The CX30 is sold as a "bundle," which includes three hardware products: a personal computer (PC) tower, a 26-inch monitor, and a color laser printer. Each of these products is made in a separate manufac- turing division of Magic Systems and can be purchased individually as well as in a bundle. Magic Systems sells roughly equal quantities of the three products. The individual selling prices and per unit costs are as follows: Individual Selling Price per Unit Cost per Unit Computer Component PC tower Monitor Color laser printer Computer bundle purchase price $1,150 $ 250 $ 600 $375 $200 $225 $1,500

Stand-alone revenue allocation. Magic Systems, Inc., sells computer hardware to end consum- ers. The CX30 is sold as a "bundle," which includes three hardware products: a personal computer (PC) tower, a 26-inch monitor, and a color laser printer. Each of these products is made in a separate manufac- turing division of Magic Systems and can be purchased individually as well as in a bundle. Magic Systems sells roughly equal quantities of the three products. The individual selling prices and per unit costs are as follows: Individual Selling Price per Unit Cost per Unit Computer Component PC tower Monitor Color laser printer Computer bundle purchase price $1,150 $ 250 $ 600 $375 $200 $225 $1,500

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Windsor Company reports the following costs and expenses in May. Factory utilities Depreciation on factory equipment Depreciation on delivery trucks Indirect factory labor Indirect materials Direct materials used Factory manager's salary From the information: (a) Manufacturing overhead $ LA $18,700 15,370 5,140 60,120 98,240 168,880 10,600 Office supplies used Determine the total amount of manufacturing overhead. Direct labor Sales salaries Property taxes on factory building Repairs to office equipment Factory repairs Advertising $84,680 56,020 3,050 1,670 2,440 18,300 3,160
Please help me with show all calculation thanku
Which analysis involves a comparison of the cost of operating additional robotic tailors with additional revenues generated by increased product sales?
A multi- step income statement ___________. A. Seperates cost of goods sold from operating expenses. B. Considers imterest revenue an operating activity. C. Is another name for a simple income statement. D. Combines cost of goods sold and operating expenses.
Which of the following costs is most likely to be classifled as a fixed cost? Multiple Cholce Direct materials Sales commissions Direct labor Property taxes Shipping costs
Retailer X buys a product at $1.75 per unit and plans to sell the item for $3.29 per unit. Calculate the Margin on an (A) COST Basis or (B) RETAIL basis
Fill in the missing amounts in each of the eight case situations below. Each case Is Independent of the others. (Hint: One way to find the missing amounts would be to prepare a contribution format Income statement for each case, enter the known data, and then compute the missing items.) Required: a. Assume that only one product is being sold in each of the following four case situations: Unit sold Sales Variable expenses Fixed expenses Operating income (loss) Contribution margin per unit Sales Variable expenses Fixed expenses $ Operating income (loss) Average contribution margin (percentage) Case #1 20,400 244,800 163,200 68,000 $ $ 136,000 $ 10 Case #2 $ Case #1 536,000 43,520 10.880 $ 8,800 20% 10 $ 69 Case #3 Case #2 13,600 b. Assume that more than one product is being sold in each of the following four case situations: (Enter "Contribution margin ratio" in percent. Round your final answers to the nearest whole dollar amount.) 436.000 283.400 109.000 95,200 16,320 13 $ S CA Case #4…
Suppose that one of Willcom's sellers sells two types of projects with pricing as follows: Projector X costs: $16 per unit if the order quantity is less than 125; $15 per unit if the quantity is at least 125 but less than 300; $14.5 per unit if the quantity is at least 300 but less than 450; $14 per unit if the order quantity is at least 450. Project Y costs $16 per unit. Suppose placing an order costs the buyer $50 in processing costs. Holding cost is based on 30% annual rate. Annual demand for projector X is 600 and for projector Y is 250. What is the minimum annual total cost (ordering, holding and purchasing) if the buyer places independent orders for the two products?
Period costs include: a. current liabilities on the balance sheet b. operating costs that are shown on the income statement in the period in which they are incurred c. current assets on the balance sheet d. operating costs that are shown on the income statement when the products are sold
A company has three types of products: gadgets, widgets, and gizmos. The cost and market price of each type is listed below. Complete the table by applying the lower of cost and net realizable value (LCNRV). Do not enter dollar signs or commas in the input boxes. Description Category Cost NRV Individual LCNRV Applied to Category Total Gadget Type 1 Gadgets $1,170 $1,000 $ Gadget Type 2 Gadgets $5,700 $5,600 $ Total Gadgets Widget A Widgets $140 $150 $ Widget B Widgets $130 $190 $ Total Widgets $ tA Gizmo 1 Gizmos $2,280 $2,450 $ Gizmo 2 Gizmos $2,280 $1,630 $ Total Gizmos Total $ A $ EA SA SA EA A
Which of the below statements refers to the concept of deferred payment? a. It is the original selling price of a product. b. It is the sum of down payment and all the monthly payments. c. It is the net price paid after discount. d. It is the totality of all monthly payments and the amount financed.
Which of the following statements correctly complete the sentence:"Gross Margin equals":I. sales revenue less (minus) cost of goods sold.II. contribution margin less (minus) fixed costs.III. operating income plus all period costs.IV. sales revenue less (minus) cost of goods manufactured.