[The following information applies to the questions displayed below.] Ramort Company reports the following for its single product. Ramort produced and sold 23,800 units this year. Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses Sales price Complete this question by entering your answers in the tabs below. Ramort doubles its production from 23,800 to 47,600 units while sales remain at the current 23,800 unit level. (a) Compute gross profit when production is 47,600 units under absorption costing. (b) What is the change in gross profit by increasing production from 23,800 units to 47,600 units under absorption costing? increases decreases $ 29 per unit $ 31 per unit $ 22 per unit $ 47,600 per year $ 3 per unit Required A Required B What is the change in gross profit by increasing production from 23,800 units to 47,600 units under absorption costing? Gross profit by $ 69,000 per year $ 117 per unit < Required A Required B >
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
please answer do not image.
![[The following information applies to the questions displayed below.]
Ramort Company reports the following for its single product. Ramort produced and sold 23,800 units this year.
Direct materials
Direct labor
Variable overhead
Fixed overhead
Variable selling and administrative expenses
Fixed selling and administrative expenses
Sales price
Complete this question by entering your answers in the tabs below.
Ramort doubles its production from 23,800 to 47,600 units while sales remain at the current 23,800 unit level.
(a) Compute gross profit when production is 47,600 units under absorption costing.
(b) What is the change in gross profit by increasing production from 23,800 units to 47,600 units under absorption costing?
Gross profit
Required A Required B
What is the change in gross profit by increasing production from 23,800 units to 47,600 units under absorption costing?
increases
decreases
$ 29 per unit
$ 31 per unit
$ 22 per unit
$ 47,600 per year
$ 3 per unit
by
$ 69,000 per year
$ 117 per unit
< Required A
Required B >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F656a43fe-984d-4017-b805-06e0cad83a78%2F26cefb23-4dea-4c1b-9f51-434e67a3fd87%2Fse6lx8c_processed.jpeg&w=3840&q=75)
Trending now
This is a popular solution!
Step by step
Solved in 6 steps
