Question: Written Assignment Chapter 26-Comprchensive Problem Part 2 Instructions: 1. Print this Document 2. Write your name at the top 3. Complete the assignment by hand
Written Assignment Chapter 26-Comprchensive Problem Part 2 Instructions: 1. Print this Document 2. Write your name at the top 3. Complete the assignment by hand 4. Scan the completed assignments (pages 2-3) 5. Submit the assignment though Canvas Genuine Spice Inc, began operations on January 1, 2016. The company produces a hand and body lotion in an eight-ounce bottle callod Eternal Beauty. The lotion is sold wholesale in 12- bottle cases for $100 per case. There is a selling commission of $20 per case. The January direct materials, direct labor, and factory overbcad costs are as follows: DIRECT MATERIALS Cost Direct Materials Cost Behavior Variable Units per Case per Unit Cost per Case Cream base Natural oils Variable 30 ozs Bottle (8-oz) Variable 12 bottles $0.02 0.30 0.50 $2.00 9.00 6.00 $17.00 100 oas. DIRECT LABOR Direct Labor Cost per Case $6.00 1.20 $7.20 Labor Rate Hour Cost Time Department Behavior per Case 20 min. per Mixing Filling Variable Variable $18.00 14.40 25 min. FACTORY OVERHEAD Cost Behavior Total Cost Utilities Facility lease Equipment depreciation Mixed Fixed Fixed Fixed $600 14,000 4,300 660 S19,560 M. Baker Page l
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