Listed here are the total costs associated with the production of 1,000 drum sets manufactured...
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Accounting
Listed here are the total costs associated with the production of 1,000 drum sets manufactured by TrueBeat. The drum sets sell for $422 each.
Costs
1.
Plastic for casing$17,000
2.
Wages of assembly workers$82,000
3.
Property taxes on factory$4,000
4.
Accounting staff salaries$34,000
5.
Drum stands (1,000 stands purchased)$31,000
6.
Rent cost of equipment for sales staff$24,000
7.
Upper management salaries$125,000
8.
Annual flat fee for factory maintenance service$20,000
9.
Sales commissions$12 per unit
10.
Machinery depreciation, straight-line$38,000
2. Compute the manufacturing cost per drum set.
Compute the manufacturing cost per drum set. TrueBeat Calculation of Manufacturing Cost per Drum Set Item Total cost Jariable production costs Per unit cost Total variable production costs 0 Fixed production costs Total fixed production costs Total production cost
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