Hamlet House makes portable garden sheds that sell for $ 1,800 each. Costs are as follows: a.
Question:
a. How many garden sheds must the company sell to break even?
b. If Hamlet Houses management wants to earn a pretax profit of $ 200,000, how many garden sheds must be sold?
c. If Hamlet Houses management wants to earn a pretax profit of $ 280,000, how many garden sheds must besold?
Transcribed Image Text:
Per Unit Total Direct material Direct labor Variable production ovehead Variable selling and administrative cost Fixed production overhead Fixed selling and administrative $800 90 60 50 $200,000 60,000
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Related Book For
Cost Accounting Foundations and Evolutions
ISBN: 978-1111971724
9th edition
Authors: Michael R. Kinney, Cecily A. Raiborn
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