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Question - Computing unit costs at different levels of production Scentsation, Inc., budgeted for 12,000 bottles of perfume Oui during the month of May. The unit cost of Oui was $20, consisting of direct materials, $7; direct labor, $8; and factory overhead, $5 (fixed, $2; variable, $3).
Required -
a. What would be the unit cost if 10,000 bottles were manufactured?
b. What would be the unit cost if 20,000 bottles were manufactured?
c. Explain why a difference occurs in the unit costs.
Prepare journal entries to record the following transactions involving the short-term securities investments of Smart Co., all of which occurred during year.
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Bonita places a coupon in each box of its product. Customers may send in five coupons and $3-A total of 400,000 boxes of product were sold in 2010. It was estimated that 6% of the coupons would be redeemed.
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