21. During a given year, if a company produces more units than it sells, then ending inventory units will be less than beginning inventory units.
22. During a given year, if a company sells more units than it produces, then ending inventory units will be less than beginning inventory units.
23. The data needed for cost-volume-profit analysis is readily available if the income statement is prepared under absorption costing.
24. The data needed for cost-volume-profit analysis is readily available if the income statement is prepared using a contribution format.
25. Given the following data, total product cost per unit under variable costing is $10.75.
Direct labor
|
$7 per unit
|
Direct materials
|
$1 per unit
|
Overhead
|
|
Total variable overhead
|
$20,000
|
Total fixed overhead
|
$90,000
|
|
|
Expected units to be produced
|
40,000 units
|
26. Given the following data, total product cost per unit under variable costing is $7.05.
Direct labor
|
$3.50 per unit
|
Direct materials
|
$1.25 per unit
|
Overhead
|
|
Total variable overhead
|
$41,400
|
Total fixed overhead
|
$150,000
|
|
|
Expected units to be produced
|
18,000 units
|
27. Given the following data, total product cost per unit under variable costing will be greater than total product cost under absorption costing.
Direct labor
|
$2 per unit
|
Direct materials
|
$8 per unit
|
Overhead
|
|
Total variable overhead
|
$37,500
|
Total fixed overhead
|
$249,000
|
|
|
Expected units to be produced
|
15,000 units
|
28. Given the following data, total product cost per unit under absorption costing is $9.14.
Direct labor
|
$0.72 per unit
|
Direct materials
|
$0.80 per unit
|
Overhead
|
|
Total variable overhead
|
$202,500
|
Total fixed overhead
|
$140,400
|
|
|
Expected units to be produced
|
45,000 units
|
29. Given the following data, total product cost per unit under absorption costing is $11.40.
Direct labor
|
$5 per unit
|
Direct materials
|
$6 per unit
|
Overhead
|
|
Total variable overhead
|
$32,800
|
Total fixed overhead
|
$164,000
|
|
|
Expected units to be produced
|
82,000 units
|
30. Given the following data, total product cost per unit under absorption costing will be greater than total product cost per unit under variable costing.
Direct labor
|
$9 per unit
|
Direct materials
|
$7 per unit
|
Overhead
|
|
Total variable overhead
|
$45,000
|
Total fixed overhead
|
$27,000
|
|
|
Expected units to be produced
|
9,000 units
|