Operating income. Given information: 2014, Selling price per unit is $70. Variable cost per unit after 20% decrease is $ 24 ( 30 × 80 % ) Fixed costs are $ 115 , 000 ( 100 , 000 × 115 % ) Total revenue is $350,000.

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Answer 1

Question

Chapter 3, Problem 3.37P

1.

To determine

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

2.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

3.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

4.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).

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Coronado Fire, Inc. manufactures steel cylinders and nozzles for two models of fire extinguishers: (1) a home fire extinguisher and (2) a commercial fire extinguisher. The home model is a high-volume (54,000 units), half-gallon cylinder that holds 2 1/2 pounds of multi- purpose dry chemical at 480 PSI. The commercial model is a low-volume (10,200 units), two-gallon cylinder that holds 10 pounds of multi-purpose dry chemical at 390 PSI. Both products require 1.5 hours of direct labor for completion. Therefore, total annual direct labor hours are 96,300 or [1.5 hours x (54,000+10,200)]. Estimated annual manufacturing overhead is $1,566,090. Thus, the predetermined overhead rate is $16.26 or ($1,566,090 ÷ 96,300) per direct labor hour. The direct materials cost per unit is $18.50 for the home model and $26.50 for the commercial model. The direct labor cost is $19 per unit for both the home and the commercial models. The company's managers identified six activity cost pools and related…

Coronado Fire, Inc. manufactures steel cylinders and nozzles for two models of fire extinguishers: (1) a home fire extinguisher and (2) a commercial fire extinguisher. The home model is a high-volume (54,000 units), half-gallon cylinder that holds 2 1/2 pounds of multi- purpose dry chemical at 480 PSI. The commercial model is a low-volume (10,200 units), two-gallon cylinder that holds 10 pounds of multi-purpose dry chemical at 390 PSI. Both products require 1.5 hours of direct labor for completion. Therefore, total annual direct labor hours are 96,300 or [1.5 hours x (54,000+ 10,200)]. Estimated annual manufacturing overhead is $1,566,090. Thus, the predetermined overhead rate is $16.26 or ($1,566,090 ÷ 96,300) per direct labor hour. The direct materials cost per unit is $18.50 for the home model and $26.50 for the commercial model. The direct labor cost is $19 per unit for both the home and the commercial models. The company's managers identified six activity cost pools and related…

Answer 2

Question

Chapter 3, Problem 3.37P

1.

To determine

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

2.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

3.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

4.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 3, Problem 3.37P

1.

To determine

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

2.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

3.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

4.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).

Expert Solution & Answer

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See solution

Answer 4

Question

Chapter 3, Problem 3.37P

1.

To determine

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

2.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

3.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

4.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 5

Chapter 3, Problem 3.37P

1.

To determine

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

2.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

3.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

4.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).

Answer 6

Chapter 3, Problem 3.37P

1.

To determine

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

Answer 7

Chapter 3, Problem 3.37P

1.

To determine

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

Answer 8

2.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

Answer 9

2.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

Answer 10

3.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

Answer 11

3.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

Answer 12

4.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).

Answer 13

4.

To determine

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).

Answer 14

Expert Solution & Answer

Answer 15

Expert Solution & Answer

Answer 16

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Answer 17

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Operating income. Given information: 2014, Selling price per unit is $70. Variable cost per unit after 20% decrease is $ 24 ( 30 × 80 % ) Fixed costs are $ 115 , 000 ( 100 , 000 × 115 % ) Total revenue is $350,000.

To compute: Operating income. Given information: 2014, Selling price per unit is $70. Variable cost per unit after 20% decrease is $24(30×80%) Fixed costs are $115,000(100,000×115%) Total revenue is $350,000.

To compute: Operating income Given information: 2014, Selling price per unit is $35. Variable cost per unit is $30. Fixed costs are $125,000($100,000+$25,000).

To compute: Operating income Given information: 2014, Selling price per unit is $80($70+$10). Variable cost per unit is $38($30+$8). Fixed costs are $100,000.

To compute: Operating income Given information: 2014, Selling price per unit is $70 Variable cost per unit is $30 Fixed costs are $200,000($100,000+$100,000).

Want to see the full answer?

Chapter 3 Solutions

To compute: Operating income.

Given information:

2014,

Selling price per unit is $70.

Variable cost per unit after 20% decrease is $24(30×80%)

Fixed costs are $115,000(100,000×115%)

Total revenue is $350,000.

To compute: Operating income

Given information:

2014,

Selling price per unit is $35.

Variable cost per unit is $30.

Fixed costs are $125,000($100,000+$25,000).

To compute: Operating income

Given information:

2014,

Selling price per unit is $80($70+$10).

Variable cost per unit is $38($30+$8).

Fixed costs are $100,000.

To compute: Operating income

Given information:

2014,

Selling price per unit is $70

Variable cost per unit is $30

Fixed costs are $200,000($100,000+$100,000).