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Rerun Manufacturing Company is in the process of preparing its 2020 budget and is anticipating...

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Accounting

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Rerun Manufacturing Company is in the process of preparing its 2020 budget and is anticipating the following changes: 8 01:06:51 30% increase in the number of units sold. 25% increase in the direct material unit cost. 20% increase in the direct labor cost per unit. 12% increase in the manufacturing overhead cost per unit. 20% increase in the sales price. 6% increase in the administrative expenses. Rerun does not keep any units in inventory. The composition of the cost of finished products during 2019 for materials, direct labor, and factory overhead, respectively. was in the ratio of 3:2:1. The condensed income statement for 2019 is as follows: $507,000 50,700 456,300 333,000 Sales (39,000 units) Less sales returns Net sales Cost of Good's Sold Gross Profit Selling Expenses Admin. Expenses Net Income $123,300 $ 69,000 39,000 108,000 $ 15,300 What is the estimated cost of goods sold for 2020 assuming the number of units sold does not change? Help Save & Exit Submit Net Income $ 15, 300 What is the estimated cost of goods sold for 2020 assuming the number of units sold does not change? 3 otos as Multiple Choice 5521345 5403, 485 s443, 445 5452325

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