The information that follows is for Nancy’s Name Tents for the year ended December 31, 2015...

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Accounting

The information that follows is for Nancy’s Name Tents for theyear ended December 31, 2015 and

covers questions 26-31. All per unit costs below are based onthe production and sale of 3,000 name tents.

The relevant range is from 0 - 3,500 units.

Sales                                                                                                 $50 sales price per name tent                            

Costs:

VariableCosts                                               Per Tent (3,000 name tents produced and sold)    

                       Direct materials                                                        8

                       Directlabor                                                               7

Manufacturingoverhead                             8

Period Costs                                                             5

           Fixed Costs

                       Manufacturingoverhead                                           10                               

                       PeriodCosts                                                            5         

1) If 10,000 tents are produced and sold, what is the productcost per tent?

2) If 15,000 tents are produced and sold, what is theproduct cost per tent? ???????

3) If 2,000 tents are produced and sold, what is theproduct cost per tent?

???????4) What is the fixed cost per tent at 1,000 tents(including period costs) produced and sold?

???????5) What are total period costs at 1,000 name tents(produced and sold)? ???????   

Answer & Explanation Solved by verified expert
4.4 Ratings (601 Votes)
At production and sale of 3000 units Variable Product Cost per unit Direct Materials Direct Labor Manufacturing Overhead Variable Product Cost per unit 8 7 8 Variable Product Cost per unit 23 Fixed Product Cost per unit Manufacturing Overhead Fixed Product Cost per unit 10 Fixed Product Cost Fixed Product Cost per unit Number of units produced Fixed Product Cost 10 3000 Fixed Product Cost 30000    See Answer
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