Perteet Corporation's relevant range of activity is 6300 units to 12,500 units. When it produces and sells 9400 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 7.20 Direct labor $ 3.65 Variable manufacturing overhead $ 1.70 Fixed manufacturing overhead $ 2.90 Fixed selling expense $ 0.65 Fixed administrative expense $ 0.35 Sales commissions $ 0.45 Variable administrative expense $ 0.50 If 6800 units are produced, the total amount of manufacturing overhead cost is closest to: $49,890 $28,520 $38,820 $22,010
Perteet Corporation's relevant range of activity is 6300 units to 12,500 units. When it produces and sells 9400 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 7.20 Direct labor $ 3.65 Variable manufacturing overhead $ 1.70 Fixed manufacturing overhead $ 2.90 Fixed selling expense $ 0.65 Fixed administrative expense $ 0.35 Sales commissions $ 0.45 Variable administrative expense $ 0.50 If 6800 units are produced, the total amount of manufacturing overhead cost is closest to: $49,890 $28,520 $38,820 $22,010
Chapter2: Building Blocks Of Managerial Accounting
Section: Chapter Questions
Problem 5EA: Rose Company has a relevant range of production between 10,000 and 25.000 units. The following cost...
Related questions
Question
Perteet Corporation's relevant range of activity is 6300 units to 12,500 units. When it produces and sells 9400 units, its average costs per unit are as follows:
If 6800 units are produced, the total amount of manufacturing overhead cost is closest to:
Average Cost per Unit |
|||
Direct materials | $ | 7.20 | |
Direct labor | $ | 3.65 | |
Variable manufacturing overhead | $ | 1.70 | |
Fixed manufacturing overhead | $ | 2.90 | |
Fixed selling expense | $ | 0.65 | |
Fixed administrative expense | $ | 0.35 | |
Sales commissions | $ | 0.45 | |
Variable administrative expense | $ | 0.50 |
$49,890
|
||
$28,520
|
||
$38,820
|
||
$22,010
|
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
Recommended textbooks for you
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,