Determine the estimated total cost and cost per unit

Assignment Help Financial Accounting

Reference no: EM13823413

Janet Garcia is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $10,880. The booth will be open 32 hours during the trade show. Ms. Garcia also plans to add a new product line, ProOffice, which will cost $171 per package. She will continue to sell the existing product, EZRecords, which costs $92 per package. Ms. Garcia believes that the salesperson will spend approximately 22 hours selling EZRecords and 10 hours marketing ProOffice.

Required:

a. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 87 units of EZRecords and 59 units of ProOffice. (Round "Cost per unit" answers to 2 decimal places.)

b. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 207 units of EZRecords and 92 units of ProOffice. (Round "Cost per unit" answers to 2 decimal places.)

Reference no: EM13823413

Questions Cloud

Month 0 1 2 3 4 5 6 net income : Month 0 1 2 3 4 5 6 Net Income $ 10,000.00 $ 120,000.00 $ 150,000.00 $ 25,000.00 $ 30,000.00 $ 18,000.00 Depreciation $ 20,000.00 $ 30,000.00 $ 30,000.00 $ 40,000.00 $ 50,000.00 $ 40,000.00 Capital Expenditures $ 10,000.00 $ - $ - $ 10,000.00 $ - $ -..

Costing system of rather than job-order costing system : For which situation(s) below would an organization be more likely to use a process costing system of rather than a job-order costing system?

Least likely to be required on an audit : Which of the following is least likely to be required on an audit?

Basic time value of money : It is a common fact that many lottery winners are "broke" sooner than later. If you won a $1,000,000 lottery, would you want to collect the lump sum winnings today or receive the monies over time? How does your decision influence the ultimate amount ..

Determine the estimated total cost and cost per unit : Janet Garcia is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $10,880. Determine the estimated tot..

Analyze markets and add graphs : Case Analysis about German disease in financial aspect 3,5-4 pages in 14 front It is a Financial Market class. You need to analyze markets and add some graphs.

Actual manufacturing overhead costs : Traves Corporation incurred $69,000 of actual Manufacturing Overhead costs during October. During the same period, the Manufacturing Overhead applied to Work in Process was $68,000. The journal entry to record the application of Manufacturing Overhea..

Investigate franchise opportunities : Investigate franchise opportunities for an international entrepreneur by exploring the following site - Global Franchises and provide a profile of a company that is available as an international franchise. Select one that you might like to pursue..

The journal entry to record the accrual of these wages : In July, Essinger Inc. incurred $72,000 of direct labor costs and $3,000 of indirect labor costs. The journal entry to record the accrual of these wages would include a:

User Account

All Pages