How do I find: Total indirect costs? Fixed portion of sales representatives compensation? Total indirect selling…
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Question “How do I find: Total indirect costs? Fixed portion of sales representatives compensation? Total indirect selling…”
Answer
Answer
- All work forms part of the solution
- Requirement 2
2a | Direct Material per unit | $ 7.40 |
Direct Labor per unit | $ 4.40 | |
Variable manufacturing overhead per unit | $ 1.90 | |
Fixed manufacturing Overhead per unit | $ 5.40 | |
Total Manufacturing cost per unit | $ 19.10 | |
No. No. | 15,500 | |
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- Requirement 3
3a | Sales Commission per unit | $ 1.40 |
No. No. | 15,500 | |
Total Sales Commission | $ 21,700.00 | |
| Fixed percentage of compensation for sales representatives | $ 15,500.00 |
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- Note #1: Requirement #3’a
Total fixed selling expense | [15500 units x $3.9] | $ 60,450.00 |
Advertising: Less than you spend | $ 44,950.00 | |
Fixed portion of sales representative |
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