Great Bay Company manufactures cordless telephones. During 2022, total costs associated with manufacturing 18,500 of the...

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Great Bay Company manufactures cordless telephones. During 2022, total costs associated with manufacturing 18,500 of the AB- 2000 model (introduced this year) were as follows: Raw materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Required: $ 195,175 115,625 85,100 114,700 a. Calculate the cost per phone under both direct (or variable) costing and absorption costing. b. If 2,800 of these phones were in finished goods inventory at the end of 2022, by how much and in what direction (higher or lower) would 2022 operating income be different under direct (or variable) costing than under absorption costing? c. Express the phone cost in a cost formula. What does this formula suggest the total cost of making an additional 1,600 phones would be? Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the cost per phone under both direct (or variable) costing and absorption costing. (Round your direct and adsorption cost answer to 2 decimal places.) Direct (or variable) cost per phone Absorption cost per phone each each < Required A Required B > Great Bay Company manufactures cordless telephones. During 2022, total costs associated with manufacturing 18,500 of the AB- 2000 model (introduced this year) were as follows: Raw materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Required: $ 195,175 115,625 85,100 114,700 a. Calculate the cost per phone under both direct (or variable) costing and absorption costing. b. If 2,800 of these phones were in finished goods inventory at the end of 2022, by how much and in what direction (higher or lower) would 2022 operating income be different under direct (or variable) costing than under absorption costing? c. Express the phone cost in a cost formula. What does this formula suggest the total cost of making an additional 1,600 phones would be? Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the cost per phone under both direct (or variable) costing and absorption costing. (Round your direct and adsorption cost answer to 2 decimal places.) Direct (or variable) cost per phone Absorption cost per phone each each < Required A Required B >

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a Calculate the cost per phone under both direct or variable costing and absorption costing For dire... View the full answer