Sunday, June 19, 2011

What is the total throughput contribution?

ACCOUNTING

Multiple Choice

Reusser Company produces wood statues. Management has provided the following information:



Actual sales 80,000 statues

Budgeted production 100,000 statues

Selling price $20.00 per statue



Direct material costs $5.00 per statue

Variable manufacturing costs $1.50 per statue

Variable administrative costs $2.50 per statue

Fixed manufacturing overhead $2.00 per statue



What is the total throughput contribution?

a. $1,500,000

b. $2,000,000

c. $720,000

d. $1,200,000

Click here for the SOLUTION

No comments:

Post a Comment