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squeakykln squeakykln
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A year ago

Phaup Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 5,000 units, its average costs per unit are as follows:

Average Cost per Unit
Direct materials$ 4.85
Direct labor$ 4.00
Variable manufacturing overhead$ 1.75
Fixed manufacturing overhead$ 3.90
Fixed selling expense$ 0.90
Fixed administrative expense$ 0.60
Sales commissions$ 0.50
Variable administrative expense$ 0.45

For financial reporting purposes, the total amount of period costs incurred to sell 5,000 units is closest to:



▸ $8,200

▸ $12,250

▸ $7,500

▸ $4,750
Textbook 
Introduction to Managerial Accounting: Brewer Edition: 9e

Introduction to Managerial Accounting: Brewer Edition: 9e


Edition: 9th
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packar11packar11
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