SUBJECT - ACCOUNT A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: Selling price Units in beginning inventory Units produced $ 165 150 9,700 Units sold 9,000 Units in ending inventory 850 Variable cost per unit: Direct materials Direct labor Variable manufacturing overhead $ 53 $ 45 $ 8 $5 Variable selling and administrative Fixed costs: Fixed manufacturing overhead $ 3,29,800 Fixed selling and administrative $ 1,44,000 What is the total period cost for the month under variable costing? A. $329,800 B. $189,000 C. $473,800 D. $518,800

SUBJECT - ACCOUNT A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: Selling price Units in beginning inventory Units produced $ 165 150 9,700 Units sold 9,000 Units in ending inventory 850 Variable cost per unit: Direct materials Direct labor Variable manufacturing overhead $ 53 $ 45 $ 8 $5 Variable selling and administrative Fixed costs: Fixed manufacturing overhead $ 3,29,800 Fixed selling and administrative $ 1,44,000 What is the total period cost for the month under variable costing? A. $329,800 B. $189,000 C. $473,800 D. $518,800

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 22E: Ellerson Company provided the following information for the last calendar year: During the year,...

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During the year, a company purchased raw materials of $77,321, and incurred direct labor costs of $125,900. Overhead is applied at the rate of 75% of the direct labor cost. These are the inventory balances: Compute the cost of materials used in production, the cost of goods manufactured, and the cost of goods sold.
Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 2.70 is direct materials and 5.30 is overhead. What is the prime cost per unit? Conversion cost per unit?
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