Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. speedy bikes, inc. manufactures bicycles. because

Speedy Bikes, Inc. manufactures bicycles. Because it implemented lean production methods, it holds zero inventory...

50.1K

Verified Solution

Question

Accounting

Speedy Bikes, Inc. manufactures bicycles. Because it implemented lean production methods, it holds zero inventory at the end of each month. it is curently operating at 75% of capacity, producing and seling 10,000 bicycles per year. Financial data for its most recent fiscal year folows. Revenue= $3,500,000 Less: Costs (alphabetical order) CEO Salary= 150,000 Direct labor= 270,000 Factory rent= 400,000 Factory supervisor salaries= 220,000 Plant &machine depreciation= 720,000 Plant utilities (all variable)= 80,000 Radio advertising= 370,000 Raw materials= 450,000 Sales commissions= 110,000 Total Cost= 2,770,000 Net Operating Income= $730,000

Please show work so i can learn how to do this.

1. Compute the total manufacturing cost per unit.

2. Compute the gross margin per unit

3. Compute the contribution margin per unit

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Broussard Skateboard's sales are expected to increase by 15% from $7.4 million in 2016 to $8.51...

Finance
Q

9 indicates the of people who become sick in a population after exposure to an...

Biology
Q

33 A steel plate is 0 3 m long 0 1 m wide and 0...

Physics
Q

The figure shows four identical conducting plates each of area A The separation between the...

Physics
Q

Jacksonville, Florida is due south of Charleston, West Virginia. Find the distance between Jacksonville (3020')...

Basic Math
Q

The table lists the number of games played from 4 to 7 in the Major...

Statistics
Q

Use Gauss Jordan row reduction to solve the given system of equations If there is...

Algebra
Q

During its first year of operations, Novak Corp....

Accounting
Q

[The following information applies to the questions displayed below.] The following trial balance...

Accounting
Q

I need help with both parts please and thank you. value (NPV) and...

Accounting
Q

Please answer with specific excel formulas to be used, not just the answer. For example:...

Accounting
Q

Solve for the base (in $). Round to hundredths when necessary. What is the base...

Finance