What is the total amount of traceable fixed manufacturing

Reference no: EM13569391

Foundational 10-1

Cane Company manufactures two products called Alpha and Beta that sell for $120 and $80, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 100,000 units of each product. Its unit costs for each product at this level of activity are given below:

	Alpha			Beta
Direct materials		$	30		$	12
Direct labor			20			15
Variable manufacturing overhead			7			5
Traceable fixed manufacturing overhead			16			18
Variable selling expenses			12			8
Common fixed expenses			15			10

Total cost per unit		$	100		$	68

The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are deemed unavoidable and have been allocated to products based on sales dollars.

Required:
What is the total amount of traceable fixed manufacturing overhead for the Alpha product line and for the Beta product line?

		Alpha		Beta
Traceable fixed manufacturing overhead	$		$

Reference no: EM13569391

Questions Cloud

One criticism of psychological profiling is the tendency : needs to be 250 words with referencesq1. one criticism of psychological profiling is the tendency for police to believe

Find the npv and pi of a project that costs 1500 and : 1. find the npv and pi of a project that costs 1500 and returns 800 in year 1 and 850 in year 2. assume the projects

Project risk and procurement management assessment brief : assessment brief 2500 word limit ltbrgt ltbrgtrisk management has become ever more important in planning organising and

Explain the relevance of responsible stewardship and : explain the relevance of responsible stewardship and integrity in the context of financial management. why do you think

What is the total amount of traceable fixed manufacturing : nbspfoundational 10-1cane company manufactures two products called alpha and beta that sell for 120 and 80

Snow cleaners inc had net income of 494592 for its fiscal : snow cleaners inc had net income of 494592 for its fiscal year ended november 30 2012. during the year the company had

Justify your investigation by evaluating it in terms of its : justify your investigation by evaluating it in terms of its effectiveness and explain how it could be further improved.

Stangle company manufactures ties when 28000 ties are : stangle company manufactures ties. when 28000 ties are produced the costs per unit are direct materials 0.60 direct

Orkin company is considering two different mutually : orkin company is considering two different mutually exclusive capital expenditure proposals. project a will cost 489272

User Account

All Pages