ADMS 2510 Lecture 6: ch06.pdf
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Younger Corporation reports that at an activity level of 4,400units, its total variable cost is $283,096 and its total fixed costis $136,710. |
Required: |
For the activity level of 4,500 units, compute: (a) the totalvariable cost; (b) the total fixed cost; (c) the total cost; (d)the average variable cost per unit; (e) the average fixed cost perunit; and (f) the average total cost per unit. Assume that thisactivity level is within the relevant range. (Round your"Average cost" to 2 decimal places and other answers to the nearestdollar amount.) (a) Total variable cost $__________? (b) Total Fixed Cost $___________? (c) Totalcost $ __________? (d) Average variable cost $____________? PerUnit (e) Average Fixed cost $___________ ? Per Unit (f) Average totalcost $ ____________? PerUnit |
Dake Corporation's relevant range of activity is 2,000 units to 5,000 units. When it produces and sells 3,500 units, its average costs per unit are as follows:
Average Cost per Unit | ||
Direct materials | $ | 6.75 |
Direct labor | $ | 3.90 |
Variable manufacturing overhead | $ | 1.50 |
Fixed manufacturing overhead | $ | 4.00 |
Fixed selling expense | $ | 1.10 |
Fixed administrative expense | $ | 0.80 |
Sales commissions | $ | 0.90 |
Variable administrative expense | $ | 0.80 |
If 2,500 units are produced, the total amount of indirect manufacturing cost incurred is closest to:
**please show indirect cost/formula**