Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

ACCOUNTING Chapter 6 Exercises value 20.00 points da Sidha Karya Company is a fa

ID: 2521932 • Letter: A

Question

ACCOUNTING Chapter 6 Exercises value 20.00 points da Sidha Karya Company is a family-owned company located in the village of Glanyar on the island of Bal in Indonesia. The company produces a handcrafted Balinese musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $712. Selected data for the company's operations last year follow Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit 20,000 17,000 3,000 Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative S 120 S 380 S 57 S 21 Fixed costs Fixed manufacturing overhead Fixed selling and administrative 690,000 $730,000 Required: 1. Assume that the company uses absorption costing. Compute the unit product cost for one gamelan (Round your intermediate calculations and final answer to nearest whole dollar.) 2. Assume that the company uses variable costing Compute the unit product cost for one gamelan Hints References eBook & Resources Hint#1

Explanation / Answer

1.

Absorption costing

Direct Material

120

Direct Labor

380

Variable Manufacturing Overheads

57

Fixed Manufacturing Overheads (690000/20000)

34.5

Unit Product cost

591.50

2.

Variable costing

Direct Material

120

Direct Labor

380

Variable Manufacturing Overheads

57

Unit Product cost

557

--------------------------------------------------------------------------------------------------------------------------

Feel free to comment if you need further assistance J

Pls rate this answer if you found it useful.

Absorption costing

Direct Material

120

Direct Labor

380

Variable Manufacturing Overheads

57

Fixed Manufacturing Overheads (690000/20000)

34.5

Unit Product cost

591.50

Hire Me For All Your Tutoring Needs
Integrity-first tutoring: clear explanations, guidance, and feedback.
Drop an Email at
drjack9650@gmail.com
Chat Now And Get Quote