Unit Costs, Inventory Valuation, Variable and Absorption Costing Snyder Company produced 88,400 units during its first year of operations and sold 86,700 at $21.84 per unit. The company chose practical activity—at 88,400 units—to compute its predetermined overhead rate. Manufacturing costs are as follows: Direct materials $539,240 Direct labor 121,108 Expected and actual variable overhead 366,860 Expected and actual fixed overhead 468,520 Required: If required, round unit cost answers to the nearest cent. 1. Calculate the unit cost and the cost of finished goods inventory under absorption costing. Unit Cost $fill in the blank Cost of finished goods inventory $fill in the blank 2. Calculate the unit cost and the cost of finished goods inventory under variable costing. Unit Cost $fill in the blank Cost of finished goods inventory $fill in the blank 3. What is the dollar amount that would be used to report the cost of finished goods inventory to external parties? $fill in the blank
Unit Costs, Inventory Valuation, Variable and Absorption Costing Snyder Company produced 88,400 units during its first year of operations and sold 86,700 at $21.84 per unit. The company chose practical activity—at 88,400 units—to compute its predetermined overhead rate. Manufacturing costs are as follows: Direct materials $539,240 Direct labor 121,108 Expected and actual variable overhead 366,860 Expected and actual fixed overhead 468,520 Required: If required, round unit cost answers to the nearest cent. 1. Calculate the unit cost and the cost of finished goods inventory under absorption costing. Unit Cost $fill in the blank Cost of finished goods inventory $fill in the blank 2. Calculate the unit cost and the cost of finished goods inventory under variable costing. Unit Cost $fill in the blank Cost of finished goods inventory $fill in the blank 3. What is the dollar amount that would be used to report the cost of finished goods inventory to external parties? $fill in the blank
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Unit Costs,
Snyder Company produced 88,400 units during its first year of operations and sold 86,700 at $21.84 per unit. The company chose practical activity—at 88,400 units—to compute its predetermined
| Direct materials | $539,240 |
| Direct labor | 121,108 |
| Expected and actual variable overhead | 366,860 |
| Expected and actual fixed overhead | 468,520 |
Required:
If required, round unit cost answers to the nearest cent.
1. Calculate the unit cost and the cost of finished goods inventory under absorption costing.
| Unit Cost | $fill in the blank |
| Cost of finished goods inventory | $fill in the blank |
2. Calculate the unit cost and the cost of finished goods inventory under variable costing.
| Unit Cost | $fill in the blank |
| Cost of finished goods inventory | $fill in the blank |
3. What is the dollar amount that would be used to report the cost of finished goods inventory to external parties?
$fill in the blank
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