### Kesterson Corporation Cost Analysis Kesterson Corporation has provided the following cost information: | **Cost Item** | **Cost per Unit** | **Cost per Period** | |--------------------------------------|-------------------|---------------------| | Direct materials | $7.20 | | | Direct labor | $4.30 | | | Variable manufacturing overhead | $1.60 | | | Fixed manufacturing overhead | | | | Sales commissions | | $21,000 | | Variable administrative expense | $2.20 | | | Fixed selling and administrative expense | | $6,000 | --- If 7,500 units are produced, the total amount of indirect manufacturing cost incurred is closest to: #### Multiple Choice Options: - $12,000 - $36,750 - $33,000 This information is essential for determining the indirect manufacturing costs, which include both the variable manufacturing overhead and the fixed manufacturing overhead incurred per unit production.
### Kesterson Corporation Cost Analysis Kesterson Corporation has provided the following cost information: | **Cost Item** | **Cost per Unit** | **Cost per Period** | |--------------------------------------|-------------------|---------------------| | Direct materials | $7.20 | | | Direct labor | $4.30 | | | Variable manufacturing overhead | $1.60 | | | Fixed manufacturing overhead | | | | Sales commissions | | $21,000 | | Variable administrative expense | $2.20 | | | Fixed selling and administrative expense | | $6,000 | --- If 7,500 units are produced, the total amount of indirect manufacturing cost incurred is closest to: #### Multiple Choice Options: - $12,000 - $36,750 - $33,000 This information is essential for determining the indirect manufacturing costs, which include both the variable manufacturing overhead and the fixed manufacturing overhead incurred per unit production.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:### Kesterson Corporation Cost Analysis
Kesterson Corporation has provided the following cost information:
| **Cost Item** | **Cost per Unit** | **Cost per Period** |
|--------------------------------------|-------------------|---------------------|
| Direct materials | $7.20 | |
| Direct labor | $4.30 | |
| Variable manufacturing overhead | $1.60 | |
| Fixed manufacturing overhead | | |
| Sales commissions | | $21,000 |
| Variable administrative expense | $2.20 | |
| Fixed selling and administrative expense | | $6,000 |
---
If 7,500 units are produced, the total amount of indirect manufacturing cost incurred is closest to:
#### Multiple Choice Options:
- $12,000
- $36,750
- $33,000
This information is essential for determining the indirect manufacturing costs, which include both the variable manufacturing overhead and the fixed manufacturing overhead incurred per unit production.
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