Question

Kubin Company’s relevant range of production is 24,000 to 31,000 units. When it produces and sells...

Kubin Company’s relevant range of production is 24,000 to 31,000 units. When it produces and sells 27,500 units, its average costs per unit are as follows:

  

Average Cost per Unit
Direct materials $ 8.40
Direct labor $ 5.40
Variable manufacturing overhead $ 2.90
Fixed manufacturing overhead $ 6.40
Fixed selling expense $ 4.90
Fixed administrative expense $ 3.90
Sales commissions $ 2.40
Variable administrative expense $ 1.90

Required:

1. For financial accounting purposes, what is the total amount of product costs incurred to make 27,500 units?

2. For financial accounting purposes, what is the total amount of period costs incurred to sell 27,500 units?

3. For financial accounting purposes, what is the total amount of product costs incurred to make 31,000 units?

4. For financial accounting purposes, what is the total amount of period costs incurred to sell 24,000 units?

(For all requirements, do not round intermediate calculations.)

Homework Answers

Answer #1
1
Direct materials 231000 =27500*8.4
Direct labor 148500 =27500*5.4
Variable manufacturing overhead 79750 =27500*2.9
Fixed manufacturing overhead 176000 =27500*6.4
Total amount of product costs 635250
2
Fixed selling expense 134750 =27500*4.9
Fixed administrative expense 107250 =27500*3.9
Sales commissions 66000 =27500*2.4
Variable administrative expense 52250 =27500*1.9
Total amount of period costs 360250
3
Direct materials 260400 =31000*8.4
Direct labor 167400 =31000*5.4
Variable manufacturing overhead 89900 =31000*2.9
Fixed manufacturing overhead 176000 =27500*6.4
Total amount of product costs 693700
4
Fixed selling expense 134750 =27500*4.9
Fixed administrative expense 107250 =27500*3.9
Sales commissions 57600 =24000*2.4
Variable administrative expense 45600 =24000*1.9
Total amount of period costs 345200
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Kubin Company’s relevant range of production is 19,000 to 20,000 units. When it produces and sells...
Kubin Company’s relevant range of production is 19,000 to 20,000 units. When it produces and sells 19,500 units, its average costs per unit are as follows:    Average Cost per Unit Direct materials $ 7.90 Direct labor $ 4.90 Variable manufacturing overhead $ 2.40 Fixed manufacturing overhead $ 5.90 Fixed selling expense $ 4.40 Fixed administrative expense $ 3.40 Sales commissions $ 1.90 Variable administrative expense $ 1.40 Required: A. For financial accounting purposes, what is the total amount of...
Kubin Company’s relevant range of production is 27,000 to 29,000 units. When it produces and sells...
Kubin Company’s relevant range of production is 27,000 to 29,000 units. When it produces and sells 28,000 units, its average costs per unit are as follows:    Average Cost per Unit Direct materials $ 8.70 Direct labor $ 5.70 Variable manufacturing overhead $ 3.20 Fixed manufacturing overhead $ 6.70 Fixed selling expense $ 5.20 Fixed administrative expense $ 4.20 Sales commissions $ 2.70 Variable administrative expense $ 2.20 Required: 1. For financial accounting purposes, what is the total amount of...
Kubin Company’s relevant range of production is 27,000 to 29,000 units. When it produces and sells...
Kubin Company’s relevant range of production is 27,000 to 29,000 units. When it produces and sells 28,000 units, its average costs per unit are as follows:    Amount per Unit Direct materials $ 8.70 Direct labor $ 5.70 Variable manufacturing overhead $ 3.20 Fixed manufacturing overhead $ 6.70 Fixed selling expense $ 5.20 Fixed administrative expense $ 4.20 Sales commissions $ 2.70 Variable administrative expense $ 2.20 1. What is the incremental manufacturing cost incurred if the company increases production...
Kubin Company’s relevant range of production is 18,000 to 22,000 units. When it produces and sells...
Kubin Company’s relevant range of production is 18,000 to 22,000 units. When it produces and sells 20,000 units, its average costs per unit are as follows: Amount per Unit Direct materials $ 7.00 Direct labor $ 4.00 Variable manufacturing overhead $ 1.50 Fixed manufacturing overhead $ 5.00 Fixed selling expense $ 3.50 Fixed administrative expense $ 2.50 Sales commissions $ 1.00 Variable administrative expense $ 0.50 Required: 5. If 18,000 units are produced, what is the average fixed manufacturing cost...
Kubin Company’s relevant range of production is 16,000 to 24,500 units. When it produces and sells...
Kubin Company’s relevant range of production is 16,000 to 24,500 units. When it produces and sells 20,250 units, its average costs per unit are as follows:    Amount per Unit Direct materials $ 7.70 Direct labor $ 4.70 Variable manufacturing overhead $ 2.20 Fixed manufacturing overhead $ 5.70 Fixed selling expense $ 4.20 Fixed administrative expense $ 3.20 Sales commissions $ 1.70 Variable administrative expense $ 1.20 Required: 1. If 16,000 units are produced and sold, what is the variable...
Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and...
Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Average Cost Per Unit Direct materials $ 6.30 Direct labor $ 3.80 Variable manufacturing overhead $ 1.50 Fixed manufacturing overhead $ 4.00 Fixed selling expense $ 3.30 Fixed administrative expense $ 2.00 Sales commissions $ 1.00 Variable administrative expense $ 0.50 Required: 1. For financial accounting purposes, what is the total amount of...
Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and...
Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Average Cost Per Unit Direct materials $ 5.20 Direct labor $ 2.70 Variable manufacturing overhead $ 1.50 Fixed manufacturing overhead $ 4.00 Fixed selling expense $ 2.20 Fixed administrative expense $ 2.00 Sales commissions $ 1.00 Variable administrative expense $ 0.50 1. For financial accounting purposes, what is the total amount of product...
relevant range of activity is 6,000 units to 10,000 units. When it produces and sells 8,000...
relevant range of activity is 6,000 units to 10,000 units. When it produces and sells 8,000 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 6.40 Direct labor $ 3.00 Variable manufacturing overhead $ 1.30 Fixed manufacturing overhead $ 13.20 Fixed selling expense $ 2.20 Fixed administrative expense $ 1.60 Sales commissions $ 0.60 Variable administrative expense $ 0.50 Required: a. For financial reporting purposes, what is the total amount of product costs...
Saxbury Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and...
Saxbury Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 5,100 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 5.00 Direct labor $ 3.40 Variable manufacturing overhead $ 1.30 Fixed manufacturing overhead $ 3.90 Fixed selling expense $ 0.55 Fixed administrative expense $ 0.40 Sales commissions $ 0.30 Variable administrative expense $ 0.30 Required: a. For financial reporting purposes, what is the total amount of...
Saxbury Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and...
Saxbury Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 4,500 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 6.30 Direct labor $ 3.20 Variable manufacturing overhead $ 1.90 Fixed manufacturing overhead $ 3.90 Fixed selling expense $ 0.85 Fixed administrative expense $ 0.70 Sales commissions $ 0.60 Variable administrative expense $ 0.60 Required: a. For financial reporting purposes, what is the total amount of...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT