My writer delivered an awesome dissertation on the Creek War, I definitely didn’t have the time to do all the research she did on my own.
Essay (any type)
09/08/2022
Shasta Hills, a winery in British Columbia, manufactures a premium white cabernet and sells…
Shasta Hills, a winery in British Columbia, manufactures a premium white cabernet and sells primarily to distributors. Wine is sold in cases of one dozen bottles. In the year ended December 31, 2015, Shasta Hills sold 242,400 cases at an average selling price of $112.80 per case. The following additional data are for Shasta Hills for the year ended December 31, 2015 (assume constant unit costs and no price, rate, or efficiency variances): On December 31, 2015, the unit costs per case for closing inventory are $55.20 for variable costing and $73.20 for absorption costing. Required 1. Calculate cases of production for Shasta Hills in 2015. 2. Find the breakeven point (number of cases) in 2015: a. Under variable costing. b. Under absorption costing. 3. Grape prices are expected to increase 25% in 2016. Assuming all other data remain constant, what is the minimum number of cases Shasta Hills must sell in 2016 to break even? Calculate the breakeven point: a. Under variable costing. b. Under absorption costing. 4. Assume the owners of Shasta Hills want to increase 2016 operating income 10% over 2015 levels. Using the same data as in requirement 3, recalculate the target quantity of cases under variable and absorption costing. Use approximation method re absorption costing.
