Question

2 2 of 15 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: Jook Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales comissions Variable administrative expense Average Cost Por Unit $5.60 $3.10 $1.40 $4.00 $2.60 $2.20 $1.20 12. 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 dollor amount.) Total manufacturing overhead cost Manufacturing overhead per unit Prev Next >

Answer 1

40,000 worth Manufacturing Flexible budget 12 500cinh Perunit Amount Preunity Amounts Direct Material 5.60 56,000 5.60 70,000 Direct Labour 3.10 31000 13.1038750 PRIME COST 8.7087ooo 18.70108 750 overhead Variable 11.40 140 00 140 17500 Fixed 14.00 40,000 3.2 40,000 MANUFACTURINCE OVER HEAD 14.|| COST 141000 13:3 Administrative Expor variable 3.45 4 500 0.45 5625 Fixed 2:20 24,000 1.76 COST OF PRODUCTION 1675 167500 15.51 193875 Selling Goupenes Fixed 2.6 26000 26000 2.08 Sales Commission 1.20 12000 1.20 15000 (Variable TOTAL COST 20:55 205500 18.99 234375 166250 Total Manufacturing cost for 12500 unit = $1,66250 and per unit cost is $133. and Total cost is $ 234875 and 18.79 for 12.500 unib Finced cost total will be same at all levels 2. variable cost in total varies but variable cost cs priunit remains to be same. 1. Hinta