At an activity level of 8,500 machine hours in a month, Rockwell Industries' total variable production engineering cost is $765,250, and its total fixed production engineering cost is $219,400. Assume that this level of activity is within the relevant range. What would be the total production engineering cost per unit, both fixed and variable, at an activity level of 8,600 machine hours in a month?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter2: Building Blocks Of Managerial Accounting
Section: Chapter Questions
Problem 8EA: Suppose that a company has fixed costs of $18 per unit and variable costs $9 per unit when 15,000...
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At an activity level of 8,500 machine hours in a month, Rockwell
Industries' total variable production engineering cost is $765,250,
and its total fixed production engineering cost is $219,400.
Assume that this level of activity is within the relevant range.
What would be the total production engineering cost per unit,
both fixed and variable, at an activity level of 8,600 machine
hours in a month?
Transcribed Image Text:At an activity level of 8,500 machine hours in a month, Rockwell Industries' total variable production engineering cost is $765,250, and its total fixed production engineering cost is $219,400. Assume that this level of activity is within the relevant range. What would be the total production engineering cost per unit, both fixed and variable, at an activity level of 8,600 machine hours in a month?
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