Question

Cane Company manufactures two products called Alpha and Beta that sell for $165 and $130, respectively. Each product uses only one type of raw material that costs $8 per pound. The company has the capacity to annually produce 113,000 units of each product. Its average cost per unit for each product at this level of activity are given below: Alpha Rota Direct materials Direct labor Variable manufacturing overhead Traceable fixed manufacturing overhead Variable selling expenses Common fixed expenses Total cost per unit The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. 2. What is the company's total amount of common fixed expenses? Total common fixed expenses < Prev 2 3 4 ... 14 of 14 Next > . WERTYUol

Answer 1

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, 147,000 B eta Cemen fixed epanues$19 X 1 13, 000 Alpha Cenmmon Pixed expenug e a4 x 13,000 P $71, e00 Total Commen fixed bene ,859,000 Cempary's Cost pe unit x Units paoduad Total fired Cost epense ereauh prdut