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Accounting Assignment | Custom Assignment Help

Werner Company produces and sells disposable foil baking pans to retailers for $3.15 per pan. The variable cost per pan is as follows:

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Direct materials$0.29Direct labor0.58Variable factory overhead0.64Variable selling expense0.12

Fixed manufacturing cost totals $331,324 per year. Administrative cost (all fixed) totals $45,180.

Required:

1.  Compute the number of pans that must be sold for Werner to break even.

pans

2.  Conceptual Connection: What is the unit variable cost? What is the unit variable manufacturing cost? Round your answers to the nearest cent.

Unit variable cost$

Unit variable manufacturing cost$

Which is used in cost-volume-profit analysis?

Unit variable cost 

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3. How many pans must be sold for Werner to earn operating income of $13,376?

pans

4. How much sales revenue must Werner have to earn operating income of $13,376?

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