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Question 2 Comprehensive problem: Scoops Ahoy, Inc. is a manufacturer that produces ice cream. Its relevant range of production for 2019 is 101,000 to 106,000 pints of ice cream. When it produces and sells 104,000 pints, its average costs per unit are as follows:

		Average cost per pint
Direct materials	$	0.35
Direct labor	$	1.19
Variable manufacturing overhead	$	0.23
Fixed manufacturing overhead	$	0.27
Variable selling and administrative expenses	$	0.09
Fixed selling and administrative expenses	$	0.13

1. What is the total cost of producing and selling 104,000 pints of ice cream? What is the total cost of producing and selling 105,000 pints of ice cream? What is the total cost of producing and selling 102,000 pints of ice cream?

2. What is the total variable manufacturing cost of producing and selling 104,000 pints of ice cream? What is the total variable manufacturing cost of producing and selling 105,000 pints of ice cream? What is the total variable manufacturing cost of producing and selling 102,000 pints of ice cream?

3. If 105,000 pints of ice cream are produced and sold, what is the fixed cost per unit produced and sold? If 102,000 pints of ice cream are produced and sold, what is the fixed cost per unit produced and sold?

4. If 105,000 pints of ice cream are produced and sold, what is the non-manufacturing cost per unit produced and sold? If 102,000 pints of ice cream are produced and sold, what is the non-manufacturing cost per unit produced and sold?

5. If the selling price is $3.50 per pint of ice cream, what is the contribution margin per unit when producing and selling 105,000 pints of ice cream? If the selling price is $3.50 per pint of ice cream, what is the contribution margin per unit when producing and selling 102,000 pints of ice cream?

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