Chapter 19 QS: 1,2,3,4 QS. 19-1. Vijay reports the following information regarding its production costs. Compute its production cost per unit under absorption costing. Direct material $10 per unit Direct labor $20 per unit Overhead costs for the year Variable overhead $10 per unit Fixed overhead $160,000 Units produced 20,000 unit Answer: Per unit costs Absorption costing Direct material $10 Direct labor $20 Variable overhead $10 Fixed overhead $8 Total product cost per units $48 QS. 19-2. Refer to Vijay Company’s in QS 19-1. Compute its production cost per unit under variable costing. Answer: Per unit costs Variable costing Direct material $10 Direct labor $20 Variable overhead $10 Fixed overhead - Total product cost per units $40
QS. 19-3. Aces Inc., a manufacturer of tennis rackets, began operations this year. The company produced 6,000 rackets and sold 4,900. Each racket was sold at a price of $90. Fixed overhead costs are $78,000 and fixed selling and administrative costs are $65,200.
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- Fall '15
- Revenue, Vijay Company