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Need solutions for 4.08 through 4.15: I See The Light
Projected Income Statement
For the Period Ending December 31, 20x1
	Sales			25,000 lamps	@ $45.00			$1,125,000.00
	Cost of Goods Sold				@ $28.93			723,250.00
	Gross Profit							$ 401,750.00
	Selling Expenses:
		Fixed				$ 23,000.00
		Variable		(Commission per unit)	@ $3.15	78,750.00	$101,750.00
	Administrative Expenses						41,000.00
	Total Selling and Administrative Expenses:							142,750.00
	Net Profit							$ 259,000.00

The projected cost of a lamp is calculated based upon the projected increases or decreases to
current costs. The present costs to manufacture one lamp are:
	Figurines		$9.2000000	per lamp
	Electrical Sets		1.2500000	per lamp
	Lamp Shade		6.0000000	per lamp
	Direct Labor:		2.2500000	per lamp (4 lamps/hr.)
	Variable Overhead:		0.2250000	per lamp
	Fixed Overhead:		10.0000000	per lamp (based on normal capacity of 25,000 lamps)
	Cost per lamp:		$28.9250000	per lamp
Expected increases for 20x2
When calculating projected increases round to SEVEN decimal places,$0.0000000.
	1. Material Costs are expected to increase by 2.50% .
	2. Labor Costs are expected to increase by 4.50%.
	3. Variable Overhead is expected to increase by 2.00%.
	4. Fixed Overhead is expected to increase to $260,000.
	5. Fixed selling expenses are expected to be $31,000 in 20x2.
	6. Variable selling expenses (measured on a per lamp basis) are expected to increase
	by 5.00%.
	7. Fixed Administrative expenses are expected to increase by $14,000.
	The total administrative expenses for 20x0 were $40,920.00, when
	23,000 units were sold. Use the High-Low method to calculate
	the total fixed administrative expense.
	8. Variable administrative expenses (measured on a per lamp basis) are expected to
	increase by 6.50%. The total administrative expenses for 20x0 were
	$40,920.00, when 23,000 units were sold. Use the High-Low method to calculate
	the variable administrative expense per lamp.
On the following schedule develop the following figures:
	1- 20x2 Projected Variable Manufacturing Unit Cost of a lamp.
	2- 20x2 Projected Variable Unit Cost per lamp.
	3- 20x2 Projected Fixed Costs. Total Variable Cost Per Unit 20x1 Cost Projected Percent Increase 20x2 Cost Rounded to 7 Decimal Places Variable Selling 3.15 5 3.3075000 {4.07} Variable Administrative 20x1 0.0400000 {4.08} Variable Administrative 20x2 {4.09} Projected Variable Manufacturing Unit Cost {4.06} Projected Total Variable Cost Per Unit {4.10} Schedule of Fixed Costs 20x1 Cost Projected Increase 20x2 Cost Rounded to 2 Decimal Places Fixed Overhead 10 $ 260,000.00 {4.11} (normal capacity of _________ lamps @ __ ) Fixed Selling $ 31,000.00 {4.12} Fixed Administrative 20x1 {4.13} Fixed Administrative 20x2 {4.14} Projected Total Fixed Costs {4.15}

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