FINANCIAL AND MANAGERIAL ACC VOL 1 W/CON
9th Edition
ISBN: 9781266314841
Author: Wild
Publisher: MCG/CREATE
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Question
Chapter 23, Problem 12E
1.
To determine
The variable cost per unit.
2.
To determine
The markup percentage.
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A factory operates at a normal capacity of
30,000 direct labor hours. The variable costs
are $39,000, and the fixed costs are $21,000
when running at normal capacity.
What is the standard manufacturing
overhead rate per unit?
A) $1.85
B) $2.00
C) $1.50
D) $2.10
What is the company's magnitude of operating leverage ?
compute the predetermined overhead rate under traditional costing.
Chapter 23 Solutions
FINANCIAL AND MANAGERIAL ACC VOL 1 W/CON
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