Deluxe Yard Art manufacturers and sells high-end metal lawn statues. The selling price per statue is $200.Fixed
Question:
Deluxe Yard Art manufacturers and sells high-end metal lawn statues. The selling price per statue is $200.Fixed costs include insurance of $300 and administrative cost of $800, direct costs of $82 per unit ($47 direct material; $35 direct labor), and step costs of $420 for every 30units. Deluxe expects to produce 53 units.
Required
a. Indicate the following total costs for producing 53 units.
Total Fixed Costs ________________
Total Variable Costs ______________
Total Step Costs _________________
Total Costs ______________________
b. If Deluxe anticipates increasing volume by 10 units, what is the net effect of the additional sales?
Cost Accounting A Managerial Emphasis
ISBN: 978-0133138443
7th Canadian Edition
Authors: Srikant M. Datar, Madhav V. Rajan, Charles T. Horngren, Louis Beaubien, Chris Graham