What is the contribution margin ratio


Question 1. The following information is available for completed Job No. 402: Direct materials, $20,000; direct labor, $30,000; manufacturing overhead applied, $15,000; units produced, 5,000 units; units sold, 4,000 units. What is the cost of the finished goods on hand from this job?

Question 2. Becker Company developed the following data for the current year:

Beginning work in process inventory    $ 60,000
Direct materials used                            36,000
Actual overhead                                   72,000
Overhead applied                                 54,000
Cost of goods manufactured                  66,000
Total manufacturing costs                     180,000

A. What is Becker Company's direct labor cost for the year? My answer is $90,000

B. Becker Company's ending work in process inventory is? My answer is $174,000

Question 3. Sales are $250,000 and variable costs are $150,000. What is the contribution margin ratio?

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