Reference no: EM133027873
Questions -
(1) BSA Company reported P240,000 total fixed costs, P18 sales price per unit, P12 variable cost per unit. At 50,000 units, what is the operating leverage?
a. 2
b. 5
c. 4
d. 3
(2) BSA Company showed P280,000 total fixed costs, P30 sales price per unit and P16 variable cost per unit. At 30,000 units, what is the operating leverage?
a. 2
b. 4
c. 1
d. 3
(3) BSA Company cost of production report showed 12,000 units completed; 6,000 units in the work-in process inventory (60% work done on materials and conversion) and no losses. If the materials and conversion costs added are P120,000 and P80,000, respectively, what is the unit cost for completed unit?
a. P11.11
b. P13.89
c. P12.82
d. P18.52
(4) In process 3, BSA Company started with 5,000 in-process units that is 60% work done on materials and 30% converted, and received 25,000 units from preceding department. At the end of the process, 6,000 units were in process that is 30% complete in materials and 20% converted. No losses were reported. What is the equivalent units of production when FIFO method is used?
a. Materials 23,800; Conversion 21,700
b. Materials 25,800; Conversion 25,200
c. Materials 22,800; Conversion 23,700
d. Materials 28,800; Conversion 29,700
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