Cost BehaviorAlisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past experience, Alisha has found that its total maintenance costs can berepresented by the following formula: Maintenance Cost = $1,675,000+ $150X, where X = Number of Heart Stents. Last year, Alisha produced 66,000 stents. Actualmaintenance costs for the year were as expected.Required:If required, round your answers to the nearest cent.1. What is the total maintenance cost incurred by Alisha last year?2. What is the total fixed maintenance cost incurred by Alisha last year?3. What is the total variable maintenance cost incurred by Alisha last year?4. What is the maintenance cost per unit produced?per unit5. What is the fixed maintenance cost per unit?per unit6. What is the variable maintenance cost per unit?

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FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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