Questionace company produces a product that sells for 142

Assignment Help Financial Accounting

Reference no: EM13348639

Question:

Ace Company produces a product that sells for $142 per unit. Ace In June and July, the first 2 months of production, Ace produced and sold 6,000 and 7,000 units, correspondingly, with costs as follows:

June July

Production and sales volume (units) 6,000 7,000

Cost of Sales $ 347,500 405,300

Selling and administrative costs $ 436,800 458,500

a) Evaluate the variable cost per unit.

b) Estimate the net fixed cost per month.

c) What is the contribution margin per unit made and sold?

d) Show a formula to evaluate the total costs at other activity levels, defining your terms, and check any facts assumed by your assumption.

e) Classify the method you used to make your evaluate, and any other possible methods, and state the advantages of each

Reference no: EM13348639

Questions Cloud

Questionit is our plan to be global market leader by 2015 : questionit is our plan to be global market leader by 2015 and we are moving towards this goal with the implementation

Questionquestion 1show the issues to consider when deciding : questionquestion 1show the issues to consider when deciding whether a receipt is income according to ordinary

Question1 using microsoft excel prepare a flowchart : question1. using microsoft excel prepare a flowchart documenting the acquisitionpayment process for abc corporation.

Questionacme company uses the weighted-average method in to : questionacme company uses the weighted-average method in to compute product costs and reports the subsequent costs for

Questionace company produces a product that sells for 142 : questionace company produces a product that sells for 142 per unit. ace in june and july the first 2 months of

Questionat the starting of 2014 ace company estimated the : questionat the starting of 2014 ace company estimated the subsequent costs to produce one unit of product 5 pounds of

Question1a chester corporation is launching a new product : question1a chester corporation is launching a new product that is expected to cost 75 in direct materials 50 in direct

Questionthe cuts-n-curves athletic club is a state-wide : questionthe cuts-n-curves athletic club is a state-wide series of full-service fitness clubs that cater to the

Questionon march 1 2014 rollinger company acquired real : questionon march 1 2014 rollinger company acquired real estate on which it planned to build a small office building.

User Account

All Pages