Problem 20-4A Manufacturing: Preparation of a complete maste The management of Z

Question

Problem 20-4A Manufacturing: Preparation of a complete maste The management of Zigby Manufacturing prepared the following estimated balance eBook Print References Estimated Balance Sheet Cash Accounts receivable Raw materials inventory Finished goods inventory Total current assets Equipment, gross Accumulâted depreciation Equipment, net Total assets $ 54,000 354,375 100,495 333,000 841,870 628,000 164,000) 464,000 $1,305,870 1 Liabilities and Equity Accounts payable Short-term notes payable Total current liabilities Long-term note payable Total liabilities Common stock Retained earnings Total stockholders' equity s 212,195 26,000 238,195 514,000 752,195 349,000 204,675 553,675 $1,305, 870 Total liabilities and equity Prey 1 of 6 Mc

Explanation / Answer

Answer:

the total production cost per unit under absorption costing =$28

Working notes for the above answer is as under

calculation total production cost per unit under absorption costing

Particular

Amount $

Direct material

6

Direct Labor

10

Fixed overhead (6000/1000)

6

Variable overhead

6

Unit production cost as per
absorption costing

28

Particular

Amount $

Direct material

6

Direct Labor

10

Fixed overhead (6000/1000)

6

Variable overhead

6

Unit production cost as per
absorption costing

28

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