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When calculating projected increases round to TWO ($0.00) decimal places.

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The projected cost of a lamp is calculated based upon the projected increases or decreases to;current costs. The present costs to manufacture one lamp are;Lamp Kit: $16.0000000 per lamp;Direct Labor: 2.0000000 per lamp (4 lamps/hr.);Variable Overhead: 2.0000000 per lamp;Fixed Overhead: 10.0000000 per lamp (based on normal capacity of 25,000 lamps);Cost per lamp: $30.0000000 per lamp;Expected increases for 20x2;When calculating projected increases round to TWO ($0.00) decimal places.;1. Material Costs are expected to increase by 3.50%.;2. Labor Costs are expected to increase by 3.50%.;3. Variable Overhead is expected to increase by 3.00%.;4. Fixed Overhead is expected to increase to $275,000.;5. Fixed Administrative expenses are expected to increase to $44,000.;6. Variable selling expenses (measured on a per lamp basis) are expected to increase;by 3.00%.;7. Fixed selling expenses are expected to be $29,000 in 20x2.;8. Variable administrative expenses (measured a per lamp basis) are expected to;increase by 2.00%.;On the following schedule develop the following figures;1- 20x2 Projected Variable Manufacturing Unit Cost of a lamp.;2- 20x2 Projected Variable Unit Cost per lamp.;3- 20x2 Projected Fixed Costs.

 

Paper#25263 | Written in 18-Jul-2015

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