Level of activity amouned


Superior manufacuring produced and sold 50,000 Temperature gauges last year for $ 42 each. This level of activity amouned to 80 percent of the firm's total productive capacity the cost related to thislevel of activity follow.

  • Manufacturing Slling Administrative total
  • unit level $ 600,000 $ 150,000 $ 0 $750,000
  • Facility level $ 200,000 180,000 600,000 980,000
  • A how many guages must it sell to break even
  • B compute last year income or loss from sales of temperature gauges
    • c considiring to A answer at what percentage of total productive capacity must superior operate to acheive a break even point

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Accounting Basics: Level of activity amouned
Reference No:- TGS0681987

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