Answer)
Calculation of average fixed manufacturing cost per unit if 8,000 units are produced
Average fixed manufacturing cost per unit = Total fixed manufacturing cost/ number of units produced
= $ 40,000/ 8,000 units
= $ 5.00 per unit
Therefore average fixed manufacturing cost per unit if 8,000 units are produced is $ 5.00
Note: The total fixed manufacturing cost will remain same whether 8,000 units or 10,000 units are produced. However, if the number of units produced reduces, the average fixed manufacturing cost per unit will increase and vice-versa.
Working Note:
Calculation of Total fixed manufacturing overhead
Fixed manufacturing overhead cost = Average Fixed manufacturing overhead cost per unit when 10,000 units are produced X 10,000 units
= $ 4.00 per unit X 10,000 units
= $ 40,000
Required information (The following information applies to the questions displayed below.) Martinez Company's relevant range of...
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Required information [The following information applies to the questions displayed below.) Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost Per Unit $5.00 $2.50 $1.40 $4.00 $2.00 $2.20 $1.20 $0.45 ces 5. If 8,000 units are produced and sold,...
Required information [The following information applies to the questions displayed below.) Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost Per Unit $5.00 $2.50 $1.40 $4.00 $2.00 $2.20 $1.20 $0.45 3. If 8,000 units are produced and sold, what...
[The following information applies to the questions displayed below.) Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost Per Unit $5.00 $2.50 $1.40 $4.00 $2.00 $2.20 $1.20 $0.45 10. If 12,500 units are produced, what is the total amount...
[The following information applies to the questions displayed below.] Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed elling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost Per Unit $5.60 $3.10 $1.40 $4.00 $2.60 $2.20 $1.20 $0.45 8. If 12,500 units are produced, what is the average fixed...
The following information applies to the questions displayed below.] Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost Per Unit $5.60 $3.10 $1.40 $4.00 $2.60 $2.20 ş1.20 $0.45 5. If 8,000 units are produced and sold, what is the...
[The following information applies to the questions displayed below) Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost Per Unit $5.00 $2.50 $1.40 $4.00 $2.00 $2.20 $1.20 $0.45 9. If 8,000 units are produced, what is the total amount...
5 Required information [The following information applies to the questions displayed below.) Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost Per Unit $5.00 $2.50 $1.40 $4.00 $2.00 $2.20 $1.20 $0.45 2. For financial accounting purposes, what is the...