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Required informatiorn The following information applies to the questions display

ID: 2560785 • Letter: R

Question

Required informatiorn The following information applies to the questions displayed belowj its average costs per unit are as follows: points Company's relevant range of production is 7,500 units to 12.500 units. When it produces and sells 10,000 units, Average Cost Direct materials Direct labor Variable nanufacturing overhead Fixed manufacturing overhead rixed selling expense Fixed adninistrative expense Sales comnissions Variable adninistrative expense $6.00 $3.50 $1.50 $4.00 $3.00 $2.00 $1.00 $0.50 Print 12. If 12,500 units are produced, what is the total amount of manufacturing overhead cost incurred to support this level of production? What is this total amount expressed on a per unit basis? (Round your "per unit answer to 2 decimal places and other answers to the nearest whole dollar amount.) Total manufacturing overhead cost Manufacturing overhead per unit

Explanation / Answer

Total manufacturing overhead cost = (variable manufacturing overhead+Fixed manufacturing overhead)

= (12500*1.50+10000*4)

Total manufacturing overhead cost = 58750

Manufacturing overhead per unit = 58750/12500 = 4.70 per unit

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