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  • In Class Discussion S13

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    VAIBHAV RAJ
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    The document summarizes the costs of selling yarn through retail stores and catalogs. It shows the total selling costs of $1,135,400 which are broken down by cost category such as sales commissions, catalogs, and credit collection. It also provides details of order sizes for retail and catalog sales, including the number of units sold and costs broken down by small, medium, and large order sizes. The total costs for all order sizes are $185,400 for small, $296,000 for medium, and $654,000 for large orders.

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    The document summarizes the costs of selling yarn through retail stores and catalogs. It shows the total selling costs of $1,135,400 which are broken down by cost category such as sales commissions, catalogs, and credit collection. It also provides details of order sizes for retail and catalog sales, including the number of units sold and costs broken down by small, medium, and large order sizes. The total costs for all order sizes are $185,400 for small, $296,000 for medium, and $654,000 for large orders.

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    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
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    3 views2 pages

    In Class Discussion S13

    Uploaded by

    VAIBHAV RAJ
    The document summarizes the costs of selling yarn through retail stores and catalogs. It shows the total selling costs of $1,135,400 which are broken down by cost category such as sales commissions, catalogs, and credit collection. It also provides details of order sizes for retail and catalog sales, including the number of units sold and costs broken down by small, medium, and large order sizes. The total costs for all order sizes are $185,400 for small, $296,000 for medium, and $654,000 for large orders.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
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    of 2

    Cost Category Amount Cost Driver

    Sales commissions 675,000 Boxes of yarn sold to retail stores


    Catalogs 295,400 Catalogs distributed
    Cost of catalog sales 105,000 Skeins sold through catalog
    Credit and collection 60,000 Number of retail orders
    Total selling costs 1,135,400

    Order Size
    Small Medium
    Retail sales in boxes (12 skeins per box) 2,000 45,000
    Catalog sales in skeins 79,000 52,000
    Number of retail orders 485 2,415
    Catalogs distributed 254,300 211,300

    Small Medium
    Sales commissions $ 6,000 $ 135,000
    Unit Cost $ 3.00
    Catalogs $ 127,150 $ 105,650
    Unit Cost 0.5
    Cost of catalog sales $ 47,400 $ 31,200
    Unit Cost 0.6
    Credit and collection $ 4,850 $ 24,150
    Unit Cost 10

    Total cost of all orders $ 185,400 $ 296,000

    Units Sold (in skeins) 103,000 592,000

    Unit cost per order $ 1.80 $ 0.50


    retail stores

    Large Total
    178,000 225,000
    44,000 175,000
    3,100 6,000
    125,200 590,800

    Large
    $ 534,000

    $ 62,600

    $ 26,400

    $ 31,000

    $ 654,000

    2,180,000

    $ 0.30

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