Assignment 6 Bip 22-2
BU 122 Assignment 6 BYP 22-2 TBoillard
(a) The variable costs per unit are: Cost of goods sold ($600,000 ÷ 200,000) = $3.00 Selling expenses ($140,000 ÷ 200,000) = .70 Administrative expenses ($40,000 ÷ 200,000) = .20 Total $3.90 Fixed Costs are: Cost of goods sold ($800,000 X .25) $200,000 Selling expenses ($280,000 X .50)
(a) The variable costs per unit are: Cost of goods sold ($600,000 ÷ 200,000) = $3.00 Selling expenses ($140,000 ÷ 200,000) = .70 Administrative expenses ($40,000 ÷ 200,000) = .20 Total $3.90 Fixed Costs are: Cost of goods sold ($800,000 X .25) $200,000 Selling expenses ($280,000 X .50)