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Assuming activity is within relevant range, if there is a change in the activity level: 1) Fixed and variable cost per unit will change, 2) fixed and variable cost per unit wil remain the same ,   3) Fixed cost per unit will remain the same and variable cost per unit will change, 4) fixed cost per unit will change and variable costs per unit will remain the same?

a) What is the total product cost? DM used 145,000, Factory supervisor's salaries 6,000, direct wages 205,000, sales office rent and utilities 22,000, Factory equipment depreciation 35,000, Secretary to the chief executive officers salary 4000, Factory insurance 15,000

b) In traditional costing system, what is the appropriate entry if the direct material of 20,000 and indirect material of 3,000 are sent to manufacturing plant floor?

c) Which of the following cost is considered inventorial cost in manufacturing company: 1) salary of the company President, 2) depreciation on assembly equipment, 3) Salaries of the factory worker, 3) rent on the finished good, 4) Property tax on the factory building

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M91980988

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