A lumber company purchases and installs a wood chipper for $200,000. The chipper is classifi ed as MACRS 7-year property. The chipper’s useful life is 10 years. The estimated salvage value at the end of 10 years is $25,000. Using Straight Line depreciation, compute the fi rst year depreciation.

Miller company’s total sales are $171,000. the company’s direct labor cost is $20,520, which represents 30% of its total conversion cost and 40% of its total prime cost. its total selling and administrative expense is $25,650 and its only variable selling and administrative expense is a sales commission of 5% of sales. the company maintains no beginning or ending inventories and its manufacturing overhead costs are entirely fixed costs. required: 1. what is the total manufacturing overhead cost? 2. what is the total direct materials cost? 3. what is the total manufacturing cost? 4. what is the total variable selling and administrative cost? 5. what is the total variable cost? 6. what is the total fixed cost? 7. what is the total contribution margin?