What price should be charged for the chairs produced

Reference no: EM131933497

Problem

Oxmoor Manufacturing Co. expects to make 30,700 chairs during the current accounting period. The company made 3,600 chairs in January. Materials and labor costs for January were $16,300 and $24,100, respectively. Oxmoor produced 2,500 chairs in February. Material and labor costs for February were $9,900 and $13,800, respectively. The company paid the $552,600 annual rental fee on its manufacturing facility on January 1.

Required

Assuming that Oxmoor desires to sell its chairs for cost plus 50 percent of cost, what price should be charged for the chairs produced in January and February?

Reference no: EM131933497

Questions Cloud

List and describe three reasons why companies : List and describe three reasons why companies need to research their international markets. APA if reserched

Determine the inventory turnover ratio and average days : Determine the inventory turnover ratio and average days to sell inventory for 2013 and 2012.

Compute projected total unit cost of production and delivery : Compute the projected total unit cost of production and delivery. Using the target costing approach, decide whether the products should be produced.

Prepare the entries that would be recorded by oakbrook inc : Prepare the entries that would be recorded by Oakbrook Inc. for the sale and for the receipts and interest on the following dates.

What price should be charged for the chairs produced : Assuming that Oxmoor desires to sell its chairs for cost plus 50 percent of cost, what price should be charged for the chairs produced in January and February?

Where are the raw materials are used to make pampers diapers : Where are the raw materials are used to make Pampers diapers? In other words, how do they arrive at the manufacturing side of the supply chain?

Compute the amount of comprehensive income for the year : There was no other changes in stockholders' equity except comprehensive income during the year. Compute the amount of comprehensive income for the year.

Achieving organizational success : As he read the email from his company's CEO, Ravi Verghese rolls his eyes and whispers to himself, "Oh boy, here we go again....":

What impact would cost-cutting measures have on supplies : What impact would these cost-cutting measures have on supplies expenditures as reported in an actual-to budget comparison (on a budget basis)?

User Account

All Pages