Question: Answer the following questions using the information below: The following information is for Alex Corp Product X: Revenue Variable Cost $15.00 $2.50 Product Y: Revenue
Answer the following questions using the information below: The following information is for Alex Corp Product X: Revenue Variable Cost $15.00 $2.50 Product Y: Revenue Variable Cost $25.00 $10.00 Total fixed costs $50,000 28) What is the operating income, assuming actual sales total 150,000 units, and the sales mix is two units of Product X and one unit of Product Y? A) $1,850,000 B) $2,150,000 C) $1,750,000 D) $1,950,000 Answer the following questions using the information below: Mark Papers employs 15 full-time employees and 10 trainees. Direct and indirect costs are applied on a professional labor-hour basis that includes both employee and trainee hours. Following is information for 2014 Indirect costs Annual salary of each employee Annual salary of each trainee Total professional labor-hours Budget $200,000 $100,000 $25,000 Actual $300,000 $110,000 30,000 50,000 dlh 60,000 dlh 29) How much should a client be billed in a normal costing system when 1,000 professional labor-hours are used? A)$29,800 B)$41,000 C)533,600 D)$39,000 30) Activity based costing system differs from traditional costing systems in the treatment of A) direct labor costs B) indirect costs C) direct material costs D) prime costs
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