Brief Exercise 18-8 Meriden Company has a unit selling price of $550, variable costs per unit of $330, and fixed costs of $177,100.
Compute the break-even point in units using the mathematical equation. | http://edugen.wiley.com/edugen/art2/common/pixel.gif
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Brief Exercise 18-10
For Turgo Company, variable costs are 62% of sales, and fixed costs are $172,900. Management’s net income goal is $76,684.
Compute the required sales in dollars needed to achieve management’s target net income of $76,684.
Brief Exercise 18-11
For Kozy Company, actual sales are $1,235,000 and break-even sales are $741,000.
Compute the margin of safety in dollars and the margin of safety ratio.
Brief Exercise 19-16 | http://edugen.wiley.com/edugen/art2/common/pixel.gif
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Exercise 19-17
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| Polk Company builds custom fishing lures for sporting goods stores. In its first year of operations, 2012, the company incurred the following costs.
Polk Company sells the fishing lures for $26.75. During 2012, the company sold 80,000 lures and produced 94,700 lures.
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Assuming the company uses variable costing, calculate Polk’s manufacturing cost per unit for 2012. (Round answer to 2 decimal places, e.g.10.50.) | http://edugen.wiley.com/edugen/art2/common/pixel.gif
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Prepare a variable costing income statement for 2012. POLK COMPANY
Income Statement
For the Year Ended December 31, 2012
Variable Costing | http://edugen.wiley.com/edugen/art2/common/pixel.gif Sales
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Assuming the company uses absorption costing, calculate Polk’s manufacturing cost per unit for 2012. (Round answer to 2 decimal places, e.g.10.50.) Manufacturing cost per unit | | $http://edugen.wiley.com/edugen/art2/common/pixel.gif 19.44 |
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Prepare an absorption costing income statement for 2012. | http://edugen.wiley.com/edugen/art2/common/pixel.gif
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Brief Exercise 21-1
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For the quarter ended March 31, 2012, Maris Company accumulates the following sales data for its product, Garden-Tools: $317,900 budget; $340,000 actual.
Prepare a static budget report for the quarter.
Brief Exercise 21-4
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Gundy Company expects to produce 1,203,600 units of Product XX in 2012. Monthly production is expected to range from 71,910 to 113,870 units. Budgeted variable manufacturing costs per unit are: direct materials $4, direct labor $6, and overhead $10.
Prepare a flexible manufacturing budget for the relevant range value using 20,980 unit increments. (List variable costs before fixed costs.)