Your Corporation manufactures a gas operated barbecue grill. The following informationrelates to operations for last year:Unit product cost under absorption costing$46 per unitFixed manufacturing overhead cost for the year $300,000Fixed selling and administrative cost for the year $125,000Units (grills) produced and soldWhat is the variable costing unit product cost?25,000A. $29B. $34C. $58D. $63A company has sales of $100,000, ending finished goods inventory of $9,000, variablemanufacturing costs of $50,000, and fixed manufacturing costs of $28,000 for the year.Assuming the company uses direct costing, the manufacturing margin for the year is:(A) 22,000(B) 31,000(C) 59,000(D) 13,000

Consider,(1)25000 grills were produced and sold, cost is $46 per unit,Unit fixed manufacturing…

Answered: Your Corporation manufactures a gas…

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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Diego Company manufactures one product that is sold for $75 per unit in two geographic regions-the East and West regions. The following information pertains to the company's first year of operations in which it produced 46,000 units and sold 42,000 units. 2 W Variable costs per unit: Manufacturing: Direct materials Direct labor # S Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expense The company sold 31,000 units in the East region and 11,000 units in the West region. It determined that $200,000 of its fixed selling and administrative expense is traceable to the West region, $150,000 is traceable to the East region, and the remaining $38,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product. 10. What would have been the company's variable costing…

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