Problem $2-25$ Different Cost Classifications for Different Purposes $[$LO$2,$ LO$4,$ LO$5,$ LO$6]$

Dozier Company produced and sold $1,000$ units during its first month of operations. It reported the following costs and expenses for the month:

Item Amount

Direct materials $ $76,000$

Direct labour $38,500$

Variable manufacturing overhead $($indirect materials$)17,800$

Fixed manufacturing overhead $($depreciation$,$ equipment$)30,100$

Variable selling expense $($commissions$)13,400$

Fixed selling expense $($sales staff salaries$)20,800$

Variable administrative expense $($part$-$time staff, hourly wages$)4,700$

Fixed administrative expense $($full$-$time staff, salaries$)26,400$

Required:

$1.$ With respect to cost classifications for preparing financial statements:

a$.$ What is the total product cost?

b$.$ What is the total period cost?

$2.$ With respect to cost classifications for assigning costs to cost objects:

a$.$ What is the total direct manufacturing cost?

b$.$ What is the total indirect manufacturing cost?

$3.$ With respect to cost classifications for manufacturers:

a$.$ What is the total manufacturing cost?

b$.$ What is the total non$-$manufacturing cost?

c$.$ What is the total conversion cost and prime cost?

$4.$ With respect to cost classifications for predicting cost behaviour:

a$.$ What is the total variable manufacturing cost?

b$.$ What is the total fixed cost for the company as a whole?

c$.$ What is the variable cost per unit produced and sold?

$5.$ If Dozier produced $1,100$ units instead of $1,000$ units, how much incremental manufacturing cost would they incur to make the additional $100$ units?