martinez company relevant range of production is 7500 units to 12500 units. When it produces and sells 10000 units its average cost per unit are as follow; If 12500 units are produce what is the average fixed manufacturing cost per unit produced (round answer to 2 decimal places Direct materials $ 6.50 Direct labor $ 4.00 Variable manufacturing overhead $ 1.60 Fixed manufacturing overhead $ 4.00 Fixed selling expense $ 3.50 Fixed administrative expense $ 2.20 Sales commissions $ 1.20 Variable administrative expense $ 0.45
martinez company relevant range of production is 7500 units to 12500 units. When it produces and sells 10000 units its average cost per unit are as follow; If 12500 units are produce what is the average fixed manufacturing cost per unit produced (round answer to 2 decimal places Direct materials $ 6.50 Direct labor $ 4.00 Variable manufacturing overhead $ 1.60 Fixed manufacturing overhead $ 4.00 Fixed selling expense $ 3.50 Fixed administrative expense $ 2.20 Sales commissions $ 1.20 Variable administrative expense $ 0.45
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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martinez company relevant range of production is 7500 units to 12500 units. When it produces and sells 10000 units its average cost per unit are as follow; If 12500 units are produce what is the average fixed
Direct materials | $ 6.50 |
---|---|
Direct labor | $ 4.00 |
Variable manufacturing |
$ 1.60 |
Fixed manufacturing overhead | $ 4.00 |
Fixed selling expense | $ 3.50 |
Fixed administrative expense | $ 2.20 |
Sales commissions | $ 1.20 |
Variable administrative expense | $ 0.45 |
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