In the month of July, direct materials cost was $25,000, direct labor cost was $50,000, and manufacturing overhead cost was $25,000. If the firm produced 20,000 units and sold 25,000 units in July, then unit cost in July was correct answers 5$ per unit
example of manufacturing overhead correct a...
ACC final q's || with 100% Error-free Answers.
In the month of July, direct materials cost was $25,000, direct labor cost was $50,000, and
manufacturing overhead cost was $25,000. If the firm produced 20,000 units and sold 25,000
units in July, then unit cost in July was correct answers 5$ per unit
example of manufacturing overhead correct answers Supervisor at a manufacturing plant that
manufactures multiple products
example of direct labor correct answers assembly line of workers for television
Total COGS Equation correct answers (DM/unit +DL/unit +MOH/unit) x units sold
Operating Income correct answers Revenue - COGS = Gross Margin - SG&A = Op. Income
Cost behavior correct answers Whether and how costs change when output changes
cost driver correct answers A factor that causes costs to change (e.g., direct labor hours,
production volume, sales volume)
relevant range correct answers The range of output over which the assumed relation between
costs and the cost driver is valid
Fixed costs are... correct answers fixed in total but vary on a per unit
Examples of fixed costs correct answers Rent, property taxes, management salaries, equipment
lease, insurance expense, most PP&E
variable costs... correct answers vary in total but are fixed on a per unit
Example of variable costs correct answers Direct materials, direct labor, variable MOH, supplies,
electricity, sales commissions, shipping expense
total fixed MOH equation correct answers FC per unit x units produced
How much would it cost to produce x units? correct answers Total cost = Total FC + Total VC
= total FC + (per unit $ x UNITS)
Y = a + bX correct answers Y = Total cost (DV)
a = total FC (intercept)
x = VC per unit (slope)
bX = cost driver(IV)
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