Question

Estimated Development Unit Cost Cost $4.60 $60,000.00 Estimated Sales & Direct production costs 2020 Sales Retail Units Price Product # 85718 $40.00 Jan-20 3,500 Feb-20 2,500 Mar-20 3,400 Apr-20 9,000 May-20 7,300 Jun-20 7,000 $35.00 $4.00 $30,000.00 Product # 85876 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 1,300 300 200 600 700 1,300 $50.00 $5.50 $30,000.00 Product # 85767 Jan-20 Feb-20 200 500 500 400 Mar-20 Apr-20 1,300 May-20 Jun-20 1,100

Answer 1

	Jan	Feb	Mar	Apr	May	Jun	Total
Gross Sales
Units
Product 85718	3,500	2,500	3,400	9,000	7,300	7,000	32,700
Product 85876	1,300	300	200	600	700	1,300	4,400
Product 85767	200	500	500	400	1,300	1,100	4,000
Total	5,000	3,300	4,100	10,000	9,300	9,400	41,100
Dollars
Product 85718	140,000	100,000	136,000	360,000	292,000	280,000	1,308,000
Product 85876	45,500	10,500	7,000	21,000	24,500	45,500	154,000
Product 85767	10,000	25,000	25,000	20,000	65,000	55,000	200,000
TOTAL GROSS SALES	195,500	135,500	168,000	401,000	381,500	380,500	1,662,000
Returns	-	-	-	-	-	-	-
Net Sales	195,500	135,500	168,000	401,000	381,500	380,500	1,662,000
Cost of Goods Sold
Manufacturing cost
Product 85718	16,100	11,500	15,640	41,400	33,580	32,200	150,420
Product 85876	5,200	1,200	800	2,400	2,800	5,200	17,600
Product 85767	1,100	2,750	2,750	2,200	7,150	6,050	22,000
Variable manufactuing cost	22,400	15,450	19,190	46,000	43,530	43,450	190,020
Amortization of Development cost	7,073	4,878	6,059	14,525	13,745	13,720	60,000
Total MFG Cost	29,473	20,328	25,249	60,525	57,275	57,170	250,020
Gross Profit	166,027	115,172	142,751	340,475	324,225	323,330	1,411,980
Selling & Distribution cost	-	-	-	-	-	-	-
Net income before SGA	166,027	115,172	142,751	340,475	324,225	323,330	1,411,980