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28 Sep 2019
Produciton volume 7,000 10,000 Direct materials 70,000 100,000 Direct labor 56,000 80,000 Indirect Materials 21,000 30,000 Supervisors salaries 12,000 12,000 Depreciation on Plant 10,000 10,000 Maintenance 32,000 44,000 Utilities 15,000 21,000 Insurance on plant and equipment 1,600 1,600 Property taxes on plant 2000 2000 Total 219,000 300,000
A. identify each cost as being variable, foxed, or mixed
B. Develope an equation for total monthly production costs
C. Predict total costs for a monthly production volume of 8,000units.
Produciton volume | 7,000 | 10,000 |
Direct materials | 70,000 | 100,000 |
Direct labor | 56,000 | 80,000 |
Indirect Materials | 21,000 | 30,000 |
Supervisors salaries | 12,000 | 12,000 |
Depreciation on Plant | 10,000 | 10,000 |
Maintenance | 32,000 | 44,000 |
Utilities | 15,000 | 21,000 |
Insurance on plant and equipment | 1,600 | 1,600 |
Property taxes on plant | 2000 | 2000 |
Total | 219,000 | 300,000 |
A. identify each cost as being variable, foxed, or mixed
B. Develope an equation for total monthly production costs
C. Predict total costs for a monthly production volume of 8,000units.
Sixta KovacekLv2
28 Sep 2019