Profit after Taxes Assignment
February 21st, 2020
- 36 Points (6 points each). Please put the letter selected on each line. No partial credit.
___ 1. As activity volume decreases:
(a) fixed cost per unit increases
(b) variable cost per unit decreases
(c) both a and b
(d) none of the above
____ 2. Walton Co. produces a product that sells for $75 per unit. It incurs $111,000 of total
fixed costs and $45 of variable costs per unit. The number of units to be produced and
sold to obtain a $31,500 profit after taxes of 30% would be:
(a) 5,050 units
(b) 3,667 units
(c) 5,500 units
(d) 6,200 units
(e) none of the above, the correct answer is ________.
___ 3. Curry Co. has a job order cost system. The following debits (credits) appeared in the
work in process account in the general ledger for the month of March 2016:
| March 1 balance | $12,000 |
| March 31, direct materials | 40,000 |
| March 31, direct labor | 30,000 |
| March 31, factory overhead applied | 27,000 |
| March 31 to finished goods | (100,000) |
.
