Voice Com, Inc., uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,020 units of cell phones are as follows: Variable costs: Direct materials Direct labor Factory overhead Selling and admin. exp. Total variable cost per unit $164 per unit Voice Com desires a profit equal to a 13% rate of return on invested assets of $598,500. a. Determine the amount of desired profit from the production and sale of 5,020 units of cell phones. $80 per unit 40 23 21 Fixed costs: Factory overhead Selling and admin. exp. $ b. Determine the product cost per unit for the production of 5,020 of cell phones. If required, round your answer to nearest dollar. $ per unit c. Determine the product cost markup percentage (rounded to two decimal places) for cell phones. % d. Determine the selling price of cell phones. Round to the nearest dollar. Total Cost Markup Selling price per unit per unit per unit $201,500 71,800

Voice Com, Inc., uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,020 units of cell phones are as follows: Variable costs: Direct materials Direct labor Factory overhead Selling and admin. exp. Total variable cost per unit $164 per unit Voice Com desires a profit equal to a 13% rate of return on invested assets of $598,500. a. Determine the amount of desired profit from the production and sale of 5,020 units of cell phones. $80 per unit 40 23 21 Fixed costs: Factory overhead Selling and admin. exp. $ b. Determine the product cost per unit for the production of 5,020 of cell phones. If required, round your answer to nearest dollar. $ per unit c. Determine the product cost markup percentage (rounded to two decimal places) for cell phones. % d. Determine the selling price of cell phones. Round to the nearest dollar. Total Cost Markup Selling price per unit per unit per unit $201,500 71,800

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter11: Differential Analysis And Product Pricing

Section: Chapter Questions

Problem 17E: Product cost method of product costing Smart Stream Inc. uses the product cost method of applying...

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Total cost method of product pricing Based on the data presented in Exercise 17, assume that Smart Stream Inc. uses the total cost method of applying the cost-plus approach to product pricing. A. Determine the total costs and the total cost amount per unit for the production and sale of 10,000 cellular phones. B. Determine the total cost markup percentage (rounded to two decimal places) for cellular phones. C. Determine the selling price of cellular phones. (Round markup to the nearest dollar.)
Manatoah Manufacturing produces 3 models of window air conditioners: model 101, model 201, and model 301. The sales price and variable costs for these three models are as follows: The current product mix is 4:3:2. The three models share total fixed costs of $430,000. Calculate the sales price per composite unit. What is the contribution margin per composite unit? Calculate Manatoahs break-even point in both dollars and units. Using an income statement format, prove that this is the break-even point.
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Manufacturing builds and sells switch harnesses for glove boxes. The sales price and variable cost for each follows: Their sales mix is reflected in the ratio 4:4:1. If annual fixed costs shared by the three products are $1 8840 how many units of each product will need to be sold in order forJj to break even?
Voice Com, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,480 cell phones are as follows: Variable costs per unit: Direct materials Direct labor Factory overhead Selling and administrative expenses Total variable cost per unit 161 34 24 19 $138 Fixed costs: Factory overhead Selling and administrative expenses Voice Com desires a profit equal to a 14% return on invested assets of $600,700. a. Determine the amount of desired profit from the production and sale of 5,400 cell phones. 84,098 ✔ $201,600 71,600 b. Determine the product cost per unit for the production of 5,480 cell phones. Round your answer to the nearest whole dollar. 156 ✔ per unit c. Determine the product cost markup percentage for cell phones. Round your answer to two decimal places. X%
Voice Com, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 4,950 cell phones are as follows: Variable costs per unit: Direct materials Direct labor Factory overhead Selling and administrative expenses Total variable cost per unit $69 32 26 20 Fixed costs: Factory overhead Selling and administrative expenses Voice Com desires a profit equal to a 15% return on invested assets of $600,500. $147 > a. Determine the amount of desired profit from the production and sale of 4,950 cell phones. 90,075 $199,200 68,900 b. Determine the product cost per unit for the production of 4,950 cell phones. Round your answer to the nearest whole dollar. -158 X per unit Total Cost c. Determine the product cost markup percentage for cell phones. Round your answer to two decimal places. -66 X % Markup Selling price d. Determine the selling price of cell phones. Round your answers to the nearest whole dollar. per unit per unit per unit
Company P, uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,490 units of cell phones are as follows: Variable costs: Fixed costs: Direct materials $90 per unit Factory overhead $201,800 Direct labor 39 Selling and admin. exp. 69,700 Factory overhead 22 Selling and admin. exp. 19 Total variable cost per unit $170 per unit Company p desires a profit equal to a 14% rate of return on invested assets of $598,700. Determine the amount of desired profit from the production and sale of 5,490 units of cell phones. $____ Determine the product cost per unit for the production of 5,490 of cell phones. If required, round your answer to nearest dollar. $______ per unit Determine the product cost markup percentage (rounded to two decimal places) for cell phones.…
MyPhone, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,080 cell phones are as follows: Variable costs per unit: Fixed costs: Direct materials $71 Factory overhead $201,900 Direct labor 37 Selling and administrative expenses 71,300 Factory overhead 26 Selling and administrative expenses 20 Total variable cost per unit $154 MyPhone desires a profit equal to a 16% rate of return on invested assets of $598,400. a. Determine the amount of desired profit from the production and sale of 5,080 cell phones.$ b. Determine the product cost per unit for the production of 5,080 of cell phones. Round your answer to the nearest whole dollar.$ per unit c. Determine the product cost markup percentage for cell phones. Round your answer to two decimal places. % d. Determine the selling price of cell phones. Round your answers to the nearest whole…
Phone, Inc., uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,490 units of cell phones are as follows: Variable costs: Fixed costs: Direct materials $90 per unit Factory overhead $201,800 Direct labor 39 Selling and admin. exp. 69,700 Factory overhead 22 Selling and admin. exp. 19 Total variable cost per unit $170 per unit Phone desires a profit equal to a 14% rate of return on invested assets of $598,700. Determine the amount of desired profit from the production and sale of 5,490 units of cell phones. $____ Determine the product cost per unit for the production of 5,490 of cell phones. If required, round your answer to nearest dollar. $______ per unit Determine the product cost markup percentage (rounded to two decimal places) for cell phones. _______…
MyPhone, Inc., uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 4,870 units of cell phones are as follows: Variable costs: Fixed costs: Direct materials $64 per unit Factory overhead $198,100 Direct labor 32 Selling and admin. exp. 71,000 Factory overhead 22 Selling and admin. exp. 19 Total variable cost per unit $137 per unit MyPhone desires a profit equal to a 13% rate of return on invested assets of $601,800. a. Determine the amount of desired profit from the production and sale of 4,870 units of cell phones. b. Determine the product cost per unit for the production of 4,870 of cell phones. If required, round your answer to nearest dollar. c. Determine the product cost markup percentage (rounded to two decimal places) for cell phones. d. Determine the selling price of cell phones. Round to the nearest dollar. Total Cost $per unit Markup…
Smart Stream Inc. uses the total cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,500 units of cell phones are as follows: Variable costs per unit: Fixed costs: Direct materials $ 92 Factory overhead $256,400 Direct labor 42 Selling and administrative expenses 90,100 Factory overhead 28 Selling and administrative expenses 22 Total variable cost per unit $184 Smart Stream desires a profit equal to a 14% return on invested assets of $756,880. a. Determine the total costs and the total cost amount per unit for the production and sale of 5,500 cellular phones. Round the cost per unit to two decimal places. Total cost $ Total cost amount per unit $ b. Determine the total cost markup percentage for cellular phones. Round your answer to two decimal places. % c. Determine the selling price of cellular phones. Round to the nearest cent.$ per cellular phone