) Genosis Metals provided the following information for lastmonth:
Sales $20,000
Variablecosts 8,000
Fixedcosts 4,000
Operatingincome $8,000
If sales reduce to half the amount in the next month, what isthe projected operating income?
A) $0
B) $4,000
C) $2,000
D) $6,000
Answer the following questions using the information below:
Buildz Manufacturing currently produces 1,000 tables per month.The following per unit data for 1,000 tables apply for sales toregular customers:
Directmaterials $50
Direct manufacturinglabor 10
Variable manufacturing overhead 15
Fixed manufacturingoverhead 30
Total manufacturingcosts $105
2) The plant has capacity for 3,000 tables and is consideringexpanding production to 3,000 tables. What is the total cost ofproducing 3,000 tables?
A) $255,000
B) $225,000
C) $175,000
D) $235,000
3) What is the per unit cost when producing 3,000 tables?
A) $58.33
B) $175.00
C) $85.00
D) $125.45
Answer the following questions using the information below:
Pederson Company reported the following:
Manufacturingcosts $150,000
Unitsmanufactured 5,000
Unitssold 4,700 units sold for $75 per unit
Beginninginventory 100units
4) What is the average manufacturing cost per unit?
A) $40.00
B) $42.00
C) $30.00
D) $32.00
5) What is the manufacturing cost for the ending finished goodsinventory?
A) $12,000
B) $8,000
C) $11,000
D) $5,000
Answer the following questions using the information below:
Northern Star sells several products. Information of averagerevenue and costs is as follows:
Selling price perunit $20.00
Variable costs per unit:
Directmaterial $4.00
Direct manufacturinglabor $1.60
Manufacturingoverhead $0.40
Sellingcosts $2.00
Annual fixedcosts $96,000
The company sells 12,000 units at the end of the year.
6) The contribution margin per unit is ________.
A) $11.00
B) $12.00
C) $4.00
D) $14.00
