Calculate the sales price per unit

Assignment Help Cost Accounting
Reference no: EM13512913

In April, Steinhardt, Inc., sold 50 air conditioners for $200 each. Costs included material of $50 per unit, direct labor of $30 per unit, and factory overhead at 100 percent of direct labor cost.

Effective May 1, material costs decreased 5 percent per unit and direct labor costs increased 20 percent per unit. Assume that the expected May sales volume is 50 units, the same as for April.

(a) Calculate the sales price per unit that will produce the same ratio of gross profit, assuming no change in the rate of factory overhead in relation to direct labor costs. (b) Calculate the sales price per unit that will produce the same ratio of gross profit, assuming that $10 of the April factory overhead consists of fixed costs and that the variable factory overhead ratio to direct costs is unchanged from April.

Reference no: EM13512913

Questions Cloud

What is the cost of goods sold during the year : Selected data concerning the past fiscal year's operations (000 omitted) of the Televans Manufacturing Company are presented below.
Find how far does the object travel : A 3 kg object sitting at the top of the track shown is given an initial velocity of 4 m/s. How far does the object travel after passing point C
Logistic regression and multiple regression analysis : Difference between logistic regression and multiple regression analysis
Find by how much must their temperatures be raised : A brick is initially 10.74 cm high and an aluminum can is initially 10.75 cm high. By how much must their temperatures be raised in order for the brick
Calculate the sales price per unit : In April, Steinhardt, Inc., sold 50 air conditioners for $200 each. Costs included material of $50 per unit, direct labor of $30 per unit, and factory overhead at 100 percent of direct labor cost.
Define the terms race and racism : Define the terms race and racism. What are some of the problems with the concept of "race" that lead most scientists to say that it is not a biologically meaningful concept? From your own experience, why do some people embrace racial explanations for..
Estimate the mass density inside the box : Suppose that a 1.00 cm3 box in the shape of a cube is perfectly evacuated, except for a single particle of mass 1.05 10-3 g. Find the mass density inside the box
Genetic variation is of utmost importance to ensure survival : In nature, genetic variation is of utmost importance to ensure survival of the species. Human beings, however, often contribute to a decline in this variation unintentionally by our actions. For example, there are hundreds of rice species on Earth..
Find the number of units manufactured cost : Assume that finished goods inventories are valued at the current unit manufacturing cost.

Reviews

Write a Review

Cost Accounting Questions & Answers

  When oprah gave away pontiac g6 sedans to her tv audience

when oprah gave away pontiac g6 sedans to her tv audience was the value of the cars taxable?on labor day weekend in

  The following financial information relates to a suburban

the following financial information relates to a suburban retail business serendipity pty ltd that owns and operates a

  What are the u.s. tax consequences of hans u.s. activities

What are the U.S. tax consequences of Hans U.S. activities and compute Cholati s branch profi ts tax, and determine its branch interest withholding tax obligations. Assume that Cholati does not reside in a treaty country.

  Absorption costing income statement

BT's absorption costing Income Statement for the month ended and reconcile and explain the difference between BT's Variable and Absorption Net Operating Income.

  Determine the overhead volume variance

Colly, Inc. pays 20% of the cost of purchases in the month purchased and 60% in the month after and 20% in the month after that, how much cash will be disbursed in the month after a $108,000 purchase.

  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 two months of

  Depreciation for accounting and income tax purposes

Evaluated warranty costs are expensed for accounting purposes when incurred. depreciation for accounting and income tax purposes differs because of dissimilar bases of carrying the related property.

  Approximate the current years balances

Approximate the current year's balances in the form of a balance sheet and income statement

  Prepare the necessary journal entries for perez computers

July 1 Sold $20,000 of computers to Robertson Company with terms 3/15, n/60. Perez uses the gross method to record cash discounts.

  Qthe subsequent information is available for lock-down

qthe subsequent information is available for lock-down company which produces special-order security products and uses

  Prepare the cost of goods manufactured schedule

Prepare the cost of goods manufactured schedule for the month of April.

  Example on implicit interest and incremental borrowing rate

Example on implicit interest rate and incremental borrowing rate

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd