- How will the components of unit product costs be different if she uses absorption costing versus variable costing? Include your calculations.
- Using the following company data, determine unit product costs under absorption and variable costing, and show your calculations:
|
Planned units produced in the year |
10,000 |
|
Direct labor/unit |
$200 |
|
Direct material/unit |
$2,000 |
|
Variable manufacturing overhead/unit |
$400 |
|
Variable SG&A/unit |
$200 |
|
Fixed manufacturing overhead/year |
$2,000,000 |
|
Fixed SG&A |
$500,000 |
In your own words, please post a response to the Discussion Board and comment at least on two other postings. You will be graded on the quality of your postings.
The following rubric will be used for grading:
|
Grading Rubric |
|
|
20% |
What points would you wish to cover in your meeting on this subject of the importance of product costing? |
|
35% |
How will the components of unit product costs be different if the CFO uses absorption costing versus variable costing? Include your calculations. |
|
35% |
Using the company data, show your calculations for determining unit product costs under absorption and variable costing. |
|
10% |
Comment on other students’ postings. |
For assistance with your assignment, please use your text, Web resources, and all course materials.
0 comments