Purchase Solution

Calculation of Average Cost Per Unit

Not what you're looking for?

Ask Custom Question

Dyna Distribution markets CDs of the performing artist King James. At the beginning of March, Dyna had in beginning inventory 1,500 King James CDs with a unit cost of $7 During March, Dyna made the following purchases of King James CDs.

March 5 3,500 @ $8 March 21 2,000 @ $10
March 13 4,000 @ $9 March 26 2,000 @ $11

During March, 10,000 units were sold. Dyna uses a periodic inventory system. Calculate the average cost per unit.

Purchase this Solution
Solution Summary

The attached MS Excel spreadsheet contains a detailed example on the calculation of average cost per unit for the Dyna Distribution exercise.

Solution Preview

For your review, I have attached a formatted MS Excel spreadsheet which ...

Purchase this Solution
Free BrainMass Quizzes
Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.

Operations Management

This quiz tests a student's knowledge about Operations Management

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.

Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

View More Free Quizzes
Related BrainMass Solutions

  • Break even point with sales mix

    (a)Calculation of weighted average selling price & weighted average variable cost Product Sales mix Selling price Weighted average variable cost Weighted average b per unit © selling price(d) per unit(e) variable cost(f) (cXb) (

  • Total Cost of Hazen Corp

    This solution shows step-by-step calculation to determine the total variable cost, total fixed cost, total cost, average variable cost per unit, average fixed cost per unit and average total cost per unit in an Excel file.

  • Finance - Weighted Average Contribution Margin

    578673 weighted average contribution margin Lambardi Company sells 3 types of bags. Bag A sells for $20 and has variable cost of $9.00 per unit. Bag B sells for $13 and has variable cost of $12.00 per unit.

  • Break-even point calculation

    A clinic currently sends out its laundry at an average cost of $10 per load. If it acquires its own laundry facilities, at a cost of $500, its average cost per load will fall to $6. What is the break-even point, in loads? a. 250 b. 125 c.

  • Present value, DOL, DFL, unit breakeven, contribution margin

    Degree of operating leverage = quantity (average selling price per unit - variable cost per unit) / [quantity (average selling price per unit - variable cost per unit) - fixed costs] = 200,000 ($16.00 - $11.00) / [200,000 ($16.00 - $11.00) - $800,000

  • Measer Enterprises - Optimal Output Level Calculation

    6,000 6,600 7,400 8,200 Administration Fixed 6,000 6,000 6,000 6,000 Total 58,000 62,400 67,000 71,600 Average Unit Cost Average Unit 5.8 5.67 5.58 5.51 We need to find the highest contribution margin per unit

  • Equivalent Units of Production - Weighted Method

    455370 Rockwall Tile Inc uses the weighted average method for process costing: equivalent units, cost per unit, transferred out, ending Work in Progress See attached file.

  • Break-Even Units & Weighted Averages

    a)Calculation of weighted average selling price & weighted average variable cost b) Calculation of Break even units c) Verification of Break even units calculated above Solution provides an Excel spreadsheet which budgets net income, calculates the

  • The Last Outpost

    Kerry buys the blankets from weavers at an average cost of $21. In addition, he has selling expenses of $3 per blanket. Kerry rents the building for $300 per month and pays one employee a fixed salary of $500 per month. 1.

View More Related Solutions