The Maderas y Maderas company manufactures its products in its only production department. In any period they begin to manufacture a batch of 500 restaurant-type tables, at the end of the period they only managed to finish and sell 450 tables, the rest were left in the manufacturing process with 90% raw materials, 70% labor and 50% of indirect manufacturing costs. For the manufacture of all these tables, the following production costs were incurred: Raw materials $24,750,000, Labor $14,550,000 and indirect manufacturing costs $9,500,000. With the above information, the company management requests the following information for decision making:

1. What is the unit cost of manufacturing each table?
2. What is the total sales cost of the tables?
3. What is the cost of the tables that were left in inventory in process?
4. If each table sells for $180,000, operational expenses were 8% of sales, non-operational expenses 2% of sales, non-operational income 3% of sales, income tax 34%. What will be the total net profit?
5. What was the company's net profit percentage?

Answer rating: 100% (QA)

Lets break down the information provided step by step 1 Unit Cost of Manufacturing Each Table textTotal Manufacturing Cost textRaw Materials Cost text... View the full answer