Homework Answers
The correct answer is Option D (i.e. Inventory).
Brief Explanation :
Selling expenses, Administrative costs and Cost of Goods Sold, all theses expenses are dependent on the number of units sold by the company. Like, higher the number of units sold, more of these 3 costs will increase.
However, inventory is not linked with the production cost of units sold.
Add Answer to:
Production costs that are not attached to units that are sold are reported as: Select one:...
Calculator Print Item Product costs pertaining to the units that are not sold yet are reported...
Calculator Print Item Product costs pertaining to the units that are not sold yet are reported as: a. inventory on the balance sheet. b. selling expenses on the income statement. C. costs of goods sold on the balance sheet. d. administrative costs on the income statement.
Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows:...
Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct materials $100,000 Direct labour 75,000 50,000 Variable manufacturing overhead Fixed manufacturing overhead 75,000 Total sales were $440,000, total variable selling and administrative expenses were $110,000, and total fixed sellir beginning inventory. Assume that direct labour is a variable cost. Under absorption costing, what was the unit product cost? Select one: a. $13.40 b. $14.00 c. $12.00 d. $9.00
Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows:...
Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct Materials - $100,000, Direct Labour $75,000, Variable Manufacturing Overhead - $50,000, Fixed Manufacturing Overhead -$75,000. Total sales were $440,000, total variable selling and administrative expenses were $110,000, and total fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labour is a variable cost. What was the operating income under variable costing? OA) $2,000. B) $9,000. C) $12,000...
It is expected that 15,000 units will be sold at a price of $260 a unit....
It is expected that 15,000 units will
be sold at a price of $260 a unit. Maximum sales within relevant
range are 20,000 units.
Instructions:
Prepare an estimated income statement
What is the expected contribution margin ratio?
Determine the break-even sales in units and dollars
What is the expected margin of safety in dollars and as a
percentage of sales? Round to one decimal place
Determine the operating leverage
A Company
Estimated Income Statement
For the Year Ended December...
. Andy Basil Industries Inc. reported the following information about the production and sale of its...
. Andy Basil Industries Inc. reported the following information about the production and sale of its only product during the first month of operations: Selling price per unit $225.00 Sales $360,000 Direct materials used $176,000 Direct labor $100,000 Variable factory overhead $44,000 Fixed factory overhead $80,000 Variable selling and administrative expenses $20,000 Fixed selling and administrative expenses $10,000 Production volume variance 0 Ending inventory, Direct Materials 0 Ending inventory, Work-in-process 0 Ending inventory, Finished Goods 400 units Under absorption costing,...
Todrick Company is a merchandiser that reported the following information based on 1,000 units sold: Sales...
Todrick Company is a merchandiser that reported the following
information based on 1,000 units sold:
Sales
$
465,000
Beginning merchandise inventory
$
31,000
Purchases
$
310,000
Ending merchandise inventory
$
15,500
Fixed selling expense
$
?
Fixed administrative expense
$
18,600
Variable selling expense
$
23,250
Variable administrative expense
$
?
Contribution margin
$
93,000
Net operating income
$
27,900
Prepare a contribution format income statement.
Prepare a traditional format income statement.
Calculate the selling price per unit, the variable...
Lewes Company produced 8,000 units of inventory and sold 6,000. The company incurred the following production...
Lewes Company produced 8,000 units of inventory and sold 6,000. The company incurred the following production costs: Variable manufacturing cost: $12.00 per unit Fixed manufacturing overhead cost: $60,000 total Assuming the company sells its product at a price of $27.50 per unit, and incurred $10,000 in selling and administrative cost, what is the amount of net income under variable costing? Select one: A. $8,000 o B. $107,000 o C. $68,000 D. $23,000
Burke Company produced 8,000 units of inventory and sold 6,000 of them. The company incurred the following production c...
Burke Company produced 8,000 units of inventory and sold 6,000 of them. The company incurred the following production costs: Variable manufacturing cost: $6.00 per unit Fixed manufacturing overhead cost: $24,000 total Assuming the company sells its product at a price of $17 per unit, and incurred $10,000 in selling and administrative costs, what is the amount of net income under absorption costing? Select one: O A. $14,000 B. $26,000 C. $38,000 O D. $24,000
13) Jimmy Industries Inc. reported the following information about the production and sale of its only...
13) Jimmy Industries Inc. reported the following information about the production and sale of its only product during the first month of operations: Selling price per unit $65.00 Sales $78,000 Direct materials used $25,000 Direct labor $42,000 Variable factory overhead $17,000 Fixed factory overhead ? Variable selling and administrative expenses $3,000 Fixed selling and administrative expenses $5,000 Gross profit $30,000 Production volume variance 0 The company sold one-half of the units it produced. The company uses absorption costing. Fixed factory...
Question 22 (1 point) Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production...
Question 22 (1 point) Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct Materials - $100,000, Direct Labour - $75,000, Variable Manufacturing Overhead - $50,000, Fixed Manufacturing Overhead -$75,000. Total sales were $440,000, total variable selling and administrative expenses were $110,000, and total fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labour is a variable cost. What was the operating income under variable costing? A)...
Calculator Print Item Product costs pertaining to the units that are not sold yet are reported as: a. inventory on the balance sheet. b. selling expenses on the income statement. C. costs of goods sold on the balance sheet. d. administrative costs on the income statement.
Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct materials $100,000 Direct labour 75,000 50,000 Variable manufacturing overhead Fixed manufacturing overhead 75,000 Total sales were $440,000, total variable selling and administrative expenses were $110,000, and total fixed sellir beginning inventory. Assume that direct labour is a variable cost. Under absorption costing, what was the unit product cost? Select one: a. $13.40 b. $14.00 c. $12.00 d. $9.00
Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct Materials - $100,000, Direct Labour $75,000, Variable Manufacturing Overhead - $50,000, Fixed Manufacturing Overhead -$75,000. Total sales were $440,000, total variable selling and administrative expenses were $110,000, and total fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labour is a variable cost. What was the operating income under variable costing? OA) $2,000. B) $9,000. C) $12,000...
It is expected that 15,000 units will
be sold at a price of $260 a unit. Maximum sales within relevant
range are 20,000 units.
Instructions:
Prepare an estimated income statement
What is the expected contribution margin ratio?
Determine the break-even sales in units and dollars
What is the expected margin of safety in dollars and as a
percentage of sales? Round to one decimal place
Determine the operating leverage
A Company
Estimated Income Statement
For the Year Ended December...
Todrick Company is a merchandiser that reported the following
information based on 1,000 units sold:
Sales
$
465,000
Beginning merchandise inventory
$
31,000
Purchases
$
310,000
Ending merchandise inventory
$
15,500
Fixed selling expense
$
?
Fixed administrative expense
$
18,600
Variable selling expense
$
23,250
Variable administrative expense
$
?
Contribution margin
$
93,000
Net operating income
$
27,900
Prepare a contribution format income statement.
Prepare a traditional format income statement.
Calculate the selling price per unit, the variable...
Lewes Company produced 8,000 units of inventory and sold 6,000. The company incurred the following production costs: Variable manufacturing cost: $12.00 per unit Fixed manufacturing overhead cost: $60,000 total Assuming the company sells its product at a price of $27.50 per unit, and incurred $10,000 in selling and administrative cost, what is the amount of net income under variable costing? Select one: A. $8,000 o B. $107,000 o C. $68,000 D. $23,000
Burke Company produced 8,000 units of inventory and sold 6,000 of them. The company incurred the following production costs: Variable manufacturing cost: $6.00 per unit Fixed manufacturing overhead cost: $24,000 total Assuming the company sells its product at a price of $17 per unit, and incurred $10,000 in selling and administrative costs, what is the amount of net income under absorption costing? Select one: O A. $14,000 B. $26,000 C. $38,000 O D. $24,000
Question 22 (1 point) Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct Materials - $100,000, Direct Labour - $75,000, Variable Manufacturing Overhead - $50,000, Fixed Manufacturing Overhead -$75,000. Total sales were $440,000, total variable selling and administrative expenses were $110,000, and total fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labour is a variable cost. What was the operating income under variable costing? A)...
Most questions answered within 3 hours.
-
convert grams into vloume with the density of water being at
.997514 g/cm^3 at 23.1 Celsuis...
asked 1 hour ago -
Foreman company obtained a $20,000, 6% loan on May 1, 2018.
Principal and interest will be...
asked 1 hour ago -
5. Problem 11.05 (Discounted Payback)
eBook
Project L costs $60,000, its expected cash inflows are $14,000
per...
asked 1 hour ago -
1. Which of the following is true about politics and health
organizations?
A. Health organizations are...
asked 2 hours ago -
A space vehicle is coasting at a constant velocity of 18.1 m/s
in the +y direction...
asked 3 hours ago -
5) Use the following balanced equation to answer questions
(a)-(i).
3 Cu(s) + 8 HNO3(aq) →...
asked 2 hours ago -
A three-year maturity bond with a 12% annual coupon rate is
currently traded at par $1000...
asked 2 hours ago -
1.
What is the minimum volume to use in the Spec 20 cuvette in order
to...
asked 3 hours ago -
A builder wants to install wall-to-wall carpeting in a living
room of length 8.87 m and...
asked 3 hours ago -
Organizational change can produce anxiety in those affected by
the change. In what ways can change...
asked 3 hours ago -
Ozone in the atmosphere may react with nitric oxide.
From the following data, calculate the DG...
asked 3 hours ago -
Steven Long, a bond analyst, is analyzing a convertible bond.
The characteristics of the bond are...
asked 3 hours ago