(SOLVED) Mendel Manufacturing produces composite window frames for airline manufacturing companies


Question Description:

$19

Mendel Manufacturing produces composite window frames for airline manufacturing companies. At the start of the year, the company had no beginning inventory. During the year, the company manufactured 5,000 units and sold 4,000. Direct material costs were $500,000, direct labor was $400,000, variable manufacturing overhead was $800,000, and fixed manufacturing overhead was $1,000,000.
Required
Calculate cost per unit under full costing and under variable costing.
The following information relates to Exercises 5-4 through 5-10:
Xenoc, Inc., produces stereo speakers. The selling price per pair of speakers is $1,800. There is no beginning inventory.
Costs involved in production are:
Direct material……………………………………………………. $ 150
Direct labor……………………………………………………….. 200
Variable manufacturing overhead………………………………… 100
Total variable manufacturing costs per unit……………………… $ 450
Fixed manufacturing overhead per year……………………… $600,000
In addition, the company has fixed selling and administrative costs:
Fixed selling costs per year…………………………………… $210,000
Fixed administrative costs per year…………………………… $110,000

Answer

$19