The estimated unit cost for a company to produce and sell a product at a level...

Question

Question

The estimated unit cost for a company to produce and sell a product at a level...

The estimated unit cost for a company to produce and sell a product at a level of 15,000 units per month are as follows:

Direct cost $88

Direct labor 72

Variable manufacturing overhead 38

fixed manufacturing overhead 29

variable selling expenses 15

fixed selling expenses 12

What are the estimated conversion costs per unit?

a. $139

b. $110

c. $101

d. $67

business accounting

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Conversion cost = Direct labor costs + Manufacturing costs

Conversion cost = $72 + ( $38 + $29)

Conversion cost = $139

So, estimated conversion costs per unit = $139

Add a comment

Answer 2

Similar Homework Help Questions

The estimated unit costs for a company to produce and sell aproduct at a level...

The estimated unit costs for a company to produce and sell a product at a level of 12,000 units per month are as follows: Cost Item Estimated Unit Cost Direct material $ 32 Direct labor 20 Variable manufacturing overhead 15 Fixed manufacturing overhead 6 Variable selling expenses 3 Fixed selling expenses 4 What are the estimated conversion costs per unit?
The estimated unit costs for a company to produce and sell a product at a level...

The estimated unit costs for a company to produce and sell a product at a level of 13,800 units per month are as follows: Cost Item Estimated Unit Cost Direct material $ 37 Direct labor 25 Variable manufacturing overhead 22 Fixed manufacturing overhead 9 Variable selling expenses 3 Fixed selling expenses 4 What are the estimated variable costs per unit? $87 $50 $84 $62
The estimated unit costs for a company to produce and sell a product at a level...

The estimated unit costs for a company to produce and sell a product at a level of 13,600 units per month are a Cost Item Estimated Unit Cost $ 35 Direct material Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses What are the estimated variable costs per unit?

product at a level of 12,000 $32 16. The estimated unit costs for a company to...

product at a level of 12,000 $32 16. The estimated unit costs for a company to produce and sell a product at a level units per month are as follows: Cost Item Estimated Unit Cost Direct material Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses What are the estimated variable costs per unit? A. $70 B. $38 C. $67 D. $52 E. $18 17. Laner Company has the following data for the production and...
what are the estimated prime costs per unit

The estimated unit costs for a company to produce and sell a produce and sell a product at a level of 12,000 units per month are as followsCost itemEstimated Unit CostDirect material$32Direct labor20Variable manufacturing overhead 15Fixed manufacturing overhead6Variable selling expenses3Fixed selling expenses4What are the estimated prime costs per unit?(a)$76(b)$32(c)$52(d)$73(e)$67
3. Cole Co. plans to sell 12,000 units per month. The estimated units costs for Cole...

3. Cole Co. plans to sell 12,000 units per month. The estimated units costs for Cole Co. are as follows: Estimated Cost Item Unit Cost Direct materials $32 Direct labor 20 Variable manufacturing overhead 15 Fixed manufacturing overhead 6 Variable selling 3 Fixed selling 4 a. What is Cole's estimated total variable costs per unit? 70 b. Suppose Cole estimates to produce 12,000 units and sell 8,000 units during a month. What are Cole's estimated total costs?

Grainger Company produces only one product and sells that product for $110 per unit. Cost information for the product is...

Grainger Company produces only one product and sells that product for $110 per unit. Cost information for the product is as follows: Direct Material $15 per Unit Direct Labor $25 per Unit Variable Overhead $5 per Unit Fixed Overhead $33,500 Selling expenses are $3 per unit and are all variable. Administrative expenses of $15,000 are all fixed. Grainger produced 5,000 units; sold 4,000; and had no beginning inventory. A. Compute net income under i. Absorption Costing $ ii. Variable Costing...
The estimated unit cost for CNR Inc. when its operating at a production and sales level...

The estimated unit cost for CNR Inc. when its operating at a production and sales level of 12,000 units, are as follows: Cost Item Estimated Unit Cost Direct Materials $32 Direct Labor Variable factory overhead Fixed Factory overhead Variable marketing Fixed marketing Required: a identify the estimated conversion cost per unit. b. Identify the estimated prime cost per unit c. Determine the estimated total variable cost per unit. d. Compute the total cost that would be incurred during a month...
Cane Company manufactures two products called Alpha and Beta that sell for $185 and $120, respectively....

Cane Company manufactures two products called Alpha and Beta that sell for $185 and $120, respectively. Each product uses only one type of raw material that costs $5 per pound. The company has the capacity to annually produce 112,000 units of each product. Its average cost per unit for each product at this level of activity are given below: Alpha Beta Direct materials $ 30 $ 10 Direct labor 22 29 Variable manufacturing overhead 20 13 Traceable fixed manufacturing overhead...

Balcom Enterprises is planning to introduce a new product that will sell for $145 a unit....

Balcom Enterprises is planning to introduce a new product that will sell for $145 a unit. Manufacturing cost estimates for 25,000 units for the first year of production are: Direct materials $1,500,000. Direct labor $900,000 (based on $18 per hour × 50,000 hours). Although overhead has not be estimated for the new product, monthly data for Balcom's total production for the last two years has been analyzed using simple linear regression. The analysis results are as follows: Dependent variable Factory...

The estimated unit cost for a company to produce and sell a product at a level...

Homework Answers

Add Answer to:
The estimated unit cost for a company to produce and sell a product at a level...

Post as a guest

Earn Coins

The estimated unit costs for a company to produce and sell aproduct at a level...

The estimated unit costs for a company to produce and sell a product at a level...

The estimated unit costs for a company to produce and sell a product at a level...

product at a level of 12,000 $32 16. The estimated unit costs for a company to...

what are the estimated prime costs per unit

3. Cole Co. plans to sell 12,000 units per month. The estimated units costs for Cole...

Grainger Company produces only one product and sells that product for $110 per unit. Cost information for the product is...

The estimated unit cost for CNR Inc. when its operating at a production and sales level...

Cane Company manufactures two products called Alpha and Beta that sell for $185 and $120, respectively....

Balcom Enterprises is planning to introduce a new product that will sell for $145 a unit....

The estimated unit cost for a company to produce and sell a product at a level...

Homework Answers

Add Answer to: The estimated unit cost for a company to produce and sell a product at a level...

Post as a guest

Earn Coins

Add Answer to:
The estimated unit cost for a company to produce and sell a product at a level...