Lukin Corporation reports the following first year production cost information.Units produced62,000 unitsUnits sold59,000 unitsDirect labor$41 per unitDirect materials$15 per unitVariable overhead$150 per unitFixed overhead$4,340,000 in totala. Compute production cost per unit under variable costing.b. Compute production cost per unit under absorption costing.c. Determine the cost of ending inventory using variable costing.d. Determine the cost of ending inventory using absorption costing.
What will be an ideal response?
a. $41 DL + $15 DM + $150 VOH = $206 per unit under variable costing
b. $206 + ($4,340,000/62,000) FOH = $276 per unit under absorption costing
c. (62,000 units - 59,000 units) × $206 per unit = $618,000 ending inventory under variable costing
d. (62,000 units - 59,000 units) × $276 per unit = $828,000 ending inventory under absorption costing
You might also like to view...
Voice-over internet protocol (VoIP) systems enable salespeople to ________
A) access data from key partners B) deliver text messages to key customers through a short-messaging system C) track all aspects of customer interaction D) avoid the capital outlay of a CRM system E) make and receive phone calls anywhere just as though they were in the office
Which school of jurisprudence views law as a sort of evolutionary process, where changing norms of society will be reflected in the law?
A) the Natural Law School of jurisprudence B) the Sociological School of jurisprudence C) the Analytical School of jurisprudence D) the Historical School of jurisprudence
Erick's Transition ? Erick is currently a manager of a small financial planning firm. He is seeking a new career with a large corporation in the banking industry. He recently applied for the financial manager opening at G & T Bank. He is concerned that the transition from his small firm to a large corporation will be difficult. To better prepare himself for this change, he has decided to enroll in a few business classes to strengthen his understanding of corporate finance. The business classes have proven to be a valuable tool for learning the critical skills needed to fully understand a financial plan, equity financing, and debt financing. Erick now believes he has strengthened his competitive advantage in his quest for the job. Refer to Erick's Transition. When Erick creates a
financial plan, his first step should be which of the following? A. Identify available sources of financing. B. Decide which goals to finance. C. Describe which type of financing to use. D. Establish a set of valid goals and objectives. E. Determine how much money is needed to accomplish each goal.
One of the most popular tools of technical analysis is
A) charting. B) financial statement analysis. C) investor profiling. D) investor behavior analysis.