Custom v - $ lo Paste BIU a. Av Merge & Center $ % 98 E17 x fx B D E F K L M 1 Module 1 (15 points total) 2 3 Glven: Current period Amount Notes: 4 Revenue $ 900,000 The average selling price is $ 20.00 per unit 5 Direct materials $ 75,000 All direct material costs are variable 6 Direct labor $ 60,000 All direct labor costs are fixed 7 Overhead 180,000 Fifty percent of overhead is fixed (.e., machinery and equipment depreciation) 8 Selling $ 220,000 Selling costs are fixed except for sales commission based on ten percent of revenues 9 General and administrative $ 200,000 All general and administrative costs are fixed costs 10 11 1. (1 point each) Compute the following amounts. 12 13 a. Total sales quantity (in units) 45,000 14 15 b. Total variable product costs 315,000 16 17 c. Total fixed period costs 18 19 d. Total prime costs 20 21 e. Total contribution margin 22 23 2. (1 point each) Indicate whether each of the statements is True or False. 24 25 Freshpet, Inc. is primarily a manufacturing type of company 26 27 Freshpet, Inc. is also a retail type of company 28 29 Freshpet, Inc. is likely using the above information ONLY to report past financial performance to external users like investors 30 31 The traditional Income statement should reflect the same net operating income as the contribution format income statement 32 Within the relevant range, a change in activity results in a change in per unit variable cost and a change in per unit fixed cost 33 34