Company XYZ is currently producing and selling 100 units. At this level, the total direct materials cost is $500, the total direct labor cost is $1,000 and the total manufacturing overhead cost is $1,220, which includes $800 fixed manufacturing overhead cost. The company's total selling and administrative expenses are $2.600, which include $1,500 fixed selling and administrative costs. Assume that the company wishes to increase the number of units produced and sold to 102 units, what would be the incremental cost? (rounded to nearest ($) value) O a. 60 ОБ. 30 Oc 38 O d. 54 Oe. None of the given answers

FINANCIAL ACCOUNTING
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ISBN:9781259964947
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Chapter1: Financial Statements And Business Decisions
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O d. Establishing goals
Almu
O e. Choosing among alternatives
128
Company XYZ is currently producing and selling 100 units. At this level, the total direct materials cost
is $500, the total direct labor cost is $1,000 and the total manufacturing overhead cost is $1,220,
which includes $800 fixed manufacturing overhead cost. The company's total selling and
administrative expenses are $2.600, which include $1,500 fixed selling and administrative costs.
Assume that the company wishes to increase the number of units produced and sold to 102 units, what
would be the incremental cost? (rounded to nearest ($) value)
Finish a
O a. 60
О. 30
Oc 38
O d. 54
O e. None of the given answers
NEXT PAGE
IOUS PAGE
ACCT2121
Origin
Ggeneral-chat
ASUS
TUF GAML
Transcribed Image Text:O d. Establishing goals Almu O e. Choosing among alternatives 128 Company XYZ is currently producing and selling 100 units. At this level, the total direct materials cost is $500, the total direct labor cost is $1,000 and the total manufacturing overhead cost is $1,220, which includes $800 fixed manufacturing overhead cost. The company's total selling and administrative expenses are $2.600, which include $1,500 fixed selling and administrative costs. Assume that the company wishes to increase the number of units produced and sold to 102 units, what would be the incremental cost? (rounded to nearest ($) value) Finish a O a. 60 О. 30 Oc 38 O d. 54 O e. None of the given answers NEXT PAGE IOUS PAGE ACCT2121 Origin Ggeneral-chat ASUS TUF GAML
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