Calculation of ending cost of inventorythe company has an

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Reference no: EM13356047

Calculation of ending cost of inventory.

The company has an offer from a wholesaler to purchase the part for $31 per unit. If the company decides to accept the offer the cost for this part will increase or decrease by__ per unit?

Hint: Cost of ending inventory $172,286

Calculation of cost per unit

The Walter Jewelry Company produces a bracelet which normally sells for $79.95. The company produces 1,500 units annually but has the capacity to produce 2,000 units. A special order for manufacturing and selling 200 bracelets at $49.95 has been received which would not disrupt current operations. Current costs for the bracelet are as follows:

Direct materials	$17.00
Direct labor	14.50
Variable overhead	4.00
Fixed overhead	5.00
Total	$40.50

Reference no: EM13356047

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