The respective production range of Kubin Company is 21,000 to 25,000 units. The average costs per unit
Question:
The respective production range of Kubin Company is 21,000 to 25,000 units. The average costs per unit when it produces and sells 23,000 units are as follows:
Quantity Per Unit | ||
Direct materials | $ | 8.10 |
direct labor | $ | 5.10 |
Variable production load | $ | 2.60 |
Fixed production load | $ | 6.10 |
Fixed selling expense | $ | 4.60 |
Fixed administrative expense | $ | 3.60 |
Sales commissions | $ | 2.10 |
Variable administrative expense | $ | 1.60 |
Necessary:
1. If 21,000 units are produced and sold, what is the variable cost per unit produced and sold?
2. If 25,000 units are produced and sold, what is the variable cost per unit produced and sold?
3. If 21,000 units are produced and sold, what is the total amount of variable costs associated with units produced and sold?
4. If 25,000 units are produced and sold, what is the total amount of variable costs associated with units produced and sold?
5. If 21,000 units are produced, what is the average fixed production cost per unit produced?
6. If 25,000 units are produced, what is the average fixed production cost per unit produced?
7. If 21,000 units are produced, what is the total fixed production overhead incurred to support this level of production?
8. If 25,000 units are produced, what is the total fixed production overhead incurred to support this level of production?
Managerial Accounting
ISBN: 978-1259307416
16th edition
Authors: Ray Garrison, Eric Noreen, Peter Brewer