The J. Page Furniture Company has the following information available regarding costs at various levels of monthly production. Note that the company's total maximum productive capacity is 30,000 units: m Total Cost $72,000 91,800 101,480 12,000 to Direct materials $32,000 40,800 $100,000 127,500 he Direct labor or SI H Indirect materials 45,380 140,750 12,000 Supervisors' salaries 12,000 ta Depreciation on plant and equipment 8,000 8,000 58,350 8,000 G Maintenance 26,350 80,750 Utilities 6,800 14,300 19,550 NI Insurance on plant and equipment 1,600 1,600 1,600 C. 150.000 $640.150 48.000 108.000 $467.530 in Property taxes on plant and equipment Ca $220,930 in Total 8,000 Units 18.000 Units 25.000 Units Units produced Required noh cost oomnonent above, determine whether its cost is a:

Cornerstones of Cost Management (Cornerstones Series)
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Author:Don R. Hansen, Maryanne M. Mowen
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Chapter2: Basic Cost Management Concepts
Section: Chapter Questions
Problem 13E: Wyandotte Company provided the following information for the last calendar year: During the year,...
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The J. Page Furniture Company has the following information available regarding costs at various levels of
Pi monthly production. Note that the company's total maximum productive capacity is 30,000 units:
m
Total Cost
$72,000
91,800
101,480
12,000
to
Direct materials
$32,000
40,800
$100,000
he
Direct labor
127,500
or
SI
45,380
Indirect materials
140,750
Supervisors' salaries
12,000
12,000
ta
Depreciation on plant and equipment
8,000
8,000
58,350
8,000
Maintenance
26,350
80,750
Utilities
6,800
14,300
19,550
NI
Insurance on plant and equipment
1,600
1,600
1,600
C.
150.000
$640.150
48,000
108.000
$467.530
in
Property taxes on plant and equipment
$220,930
8,000 Units
Ca
in
Total
18.000 Units
25.000 Units
Units produced
Required
a. For each cost component above, determine whether its cost is a:
th
t 4om
Transcribed Image Text:The J. Page Furniture Company has the following information available regarding costs at various levels of Pi monthly production. Note that the company's total maximum productive capacity is 30,000 units: m Total Cost $72,000 91,800 101,480 12,000 to Direct materials $32,000 40,800 $100,000 he Direct labor 127,500 or SI 45,380 Indirect materials 140,750 Supervisors' salaries 12,000 12,000 ta Depreciation on plant and equipment 8,000 8,000 58,350 8,000 Maintenance 26,350 80,750 Utilities 6,800 14,300 19,550 NI Insurance on plant and equipment 1,600 1,600 1,600 C. 150.000 $640.150 48,000 108.000 $467.530 in Property taxes on plant and equipment $220,930 8,000 Units Ca in Total 18.000 Units 25.000 Units Units produced Required a. For each cost component above, determine whether its cost is a: th t 4om
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