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[DOC File]EXERCISES: PRODUCTIVITY AND COSTS OF PRODUCTION
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EXERCISE #3: COSTS OF PRODUCTION. Total Total Total Total Marginal Product fixed variable cost cost. Cost cost. 0 $60 $0 $60. 45 1 60 45 105. 40 2 60 85 145. 35 3 60 120 180. 30 4 60 150 210. 35 5 60 185 245. 40 6 60 225 285. 45 7 60 270 330. 55 8 60 325 385. 65 9 60 390 450. 75 10 60 465 525 Total Average Average Average
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[DOC File]Basic Concepts - CPA Diary
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The variable cost of production for Kirklin on a per-unit basis follows: Materials $3.50 Labor 1.50 Variable overhead 1.50 $6.50 In applying the contribution margin approach to evaluating whether to accept the new order, assuming subcontracting, what is the average variable cost per unit? A. $6.83 B. $7.00 C. $7.17 D. $7.25. 20. Sta.
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[DOC File]CHAPTER 7
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3. A firm has a fixed production cost of $5,000 and a constant marginal cost of production of $500 per unit produced. What is the firm’s total cost function? Average cost? The variable cost of producing an additional unit, marginal cost, is constant at $500, so , and Fixed cost is $5,000 and average fixed cost …
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[DOC File]Practice Problems: Chapter 12, Inventory Management
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Assume an annual carrying cost of $1.50 per handle; production setup cost of $150, and a daily production rate of 300. What is the optimal production order quantity? Problem 9: We need 1,000 electric drills per year. The ordering cost for these is $100 per order and the carrying cost is assumed to be 40% of the per unit cost.
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[DOC File]Solutions for Homework ** Accounting 311 Cost ** Winter 2009
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1,250 1,550 1,500 50 The budgeted fixed manufacturing cost per unit and budgeted total manufacturing cost per unit under absorption costing are: January February March (a) Budgeted fixed manufacturing costs (b) Budgeted production (c)=(a)÷(b) Budgeted fixed manufacturing cost per unit (d) Budgeted variable manufacturing cost per unit
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[DOCX File]6.1 Calculate Total Cost and Per-Unit Cost Given Various ...
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6.1 Calculate Total Cost and Per-Unit Cost For A Given Production Volume. Learning Objective. After studying this chapter, students should be able to calculate total cost and per-unit cost for a given production volume (TLO). Tasks: Differentiate between fixed and variable costs. Express total and per-unit variable cost in an equation
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[DOC File]Relevant Costs for Decision Making
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The total relevant cost per unit of making the part is composed of the variable production cost per unit ($11) plus the fixed cost per unit. Since the total cost must be equal to $15, then the fixed cost per unit must be $4 ($15 − $11). The fixed cost per unit is calculated as: Fixed cost per unit = Total relevant fixed costs ÷ Units to be ...
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[DOC File]Pricing Products & Services
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The variable production cost is $1.80 per unit and the variable selling and administrative cost is $2.20 per unit. 37. The product's price elasticity of demand as defined in the text is closest to: A) −1.46. B) −1.77. C) −1.76. D) −1.32.
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[DOC File](EX 20-3)
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May 09, 2009 · Since the cost per unit of the beginning work in process completed during the period is $4.77 [see part (4) above], the production costs during the current period must have decreased. c. The conversion cost in the current period decreased by $0.05 per equivalent unit; determined as follows:
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[DOC File]CHAPTER 13: INTRODUCTION TO PRODUCT COSTING
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Variable cost per unit was $5, standard fixed manufacturing cost per unit was $8, and selling and administrative costs were $425,000. All costs were incurred as budgeted. Income was $175,000 after a favorable volume variance of $100,000.
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Production cost per unit