A company that sells its single product for P40 per unit had after-tax net income for the past year of P1,188,000 after applying an effective tax rate of 40%. The projected costs for manufacturing and selling its single product in the coming year are listed below. Variable costs per unit: Direct material P5.00 Direct labor 4.00 Manufacturing overhead Selling and administrative costs Total variable cost per unit 6.00 3.00 18.00 Annual fixed operating costs: Manufacturing overhead P6,200,000 Selling and administrative costs 3.700.000 Total annual fixed cost 9.900.000 The peso sales volume required in the coming year to earn the same after-tax net income as the past year is?

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 2DQ: Which of the following costs would be classified as variable and which would be classified as fixed,...
icon
Related questions
Question
A company that sells its single product for P40 per unit had after-tax net income for the past year of P1,188,000 after applying an effective tax rate of 40%. The projected costs for manufacturing and selling its single product in the coming year are listed below. Variable costs per unit: Direct material P5.00 Direct labor 4.00 Manufacturing overhead Selling and administrative costs Total variable cost per unit 6.00 3.00 18.00 Annual fixed operating costs: Manufacturing overhead P6,200,000 Selling and administrative costs 3.700.000 Total annual fixed cost 9.900.000 The peso sales volume required in the coming year to earn the same after-tax net income as the past year is? The following activity and cost data that were provided by Hoist Corporation would help in estimating its future maintenance costs: Units Maintenance cost 3 P1.350 7 P1.590 11 P1.920 -15 P2.100 Using the least squares regression method to estimates the cost formula, the expected total cost for an activity level of 10 units would be closest to (nearest peso)
A company that sells its single product for P40 per unit had after-tax net income for the past year of P1,188,000 after
applying an effective tax rate of 40%. The projected costs for manufacturing and selling its single product in the coming
year are listed below.
Variable costs per unit:
Direct material
P5.00
Direct labor
4.00
Manufacturing overhead
6.00
Selling and administrative costs
3.00
Total variable cost per unit
18.00
Annual fixed operating costs:
Manufacturing overhead
P6,200,000
Selling and administrative costs
3,700,000
Total annual fixed cost
9,900,000
The peso sales volume required in the coming year to earn the same after-tax net income as the past year is
Transcribed Image Text:A company that sells its single product for P40 per unit had after-tax net income for the past year of P1,188,000 after applying an effective tax rate of 40%. The projected costs for manufacturing and selling its single product in the coming year are listed below. Variable costs per unit: Direct material P5.00 Direct labor 4.00 Manufacturing overhead 6.00 Selling and administrative costs 3.00 Total variable cost per unit 18.00 Annual fixed operating costs: Manufacturing overhead P6,200,000 Selling and administrative costs 3,700,000 Total annual fixed cost 9,900,000 The peso sales volume required in the coming year to earn the same after-tax net income as the past year is
The following activity and cost data that were provided by Hoist Corporation would help in estimating its future
maintenance costs:
Units
Maintenance cost
P1,350
7
P1,590
11
P1,920
_15
P2,100
Using the least squares regression method to
estimates the cost formula, the expected total cost for an activity level of 10 units would be closest to (nearest peso)
e.g. 1405.688888, Type 1406
Transcribed Image Text:The following activity and cost data that were provided by Hoist Corporation would help in estimating its future maintenance costs: Units Maintenance cost P1,350 7 P1,590 11 P1,920 _15 P2,100 Using the least squares regression method to estimates the cost formula, the expected total cost for an activity level of 10 units would be closest to (nearest peso) e.g. 1405.688888, Type 1406
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Cost Sheet
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning