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Author Question: Monroe Manufacturing produces and sells a product with a price of $100/unit. The following data has ... (Read 76 times)

mrsjacobs44

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Monroe Manufacturing produces and sells a product with a price of $100/unit.  The following data has been prepared for its estimated upper and lower levels of activity.

Production CategoryLower LimitUpper Limit
Units of Production4,000 units6,000 units
Direct Materials$60,000$90,000
Direct labour$80,000$120,000
Manufacturing Overhead:
Indirect materials$25,000$37,500
Indirect labour$40,000$50,000
Depreciation$20,000$20,000
Selling and Admin. Expenses:
Sales salaries $50,000$65,000
Office salaries $30,000$30,000
Advertising$45,000$45,000
Other$15,000$20,000
Totals$365,000$477,500


The fixed expenses for Monroe Manufacturing are
◦ direct materials, direct labour, and depreciation.
◦ indirect materials, indirect labour, and depreciation.
◦ depreciation, office salaries, and advertising.
◦ sales salaries, office salaries, and advertising.


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Marked as best answer by mrsjacobs44 on Jan 5, 2020

LP

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mrsjacobs44

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Reply 2 on: Jan 5, 2020
Great answer, keep it coming :)


Dominic

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Reply 3 on: Yesterday
Gracias!

 

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