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mregueral mregueral
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2 months ago

Varela Corporation's relevant range of activity is 2,000 units to 6,000 units. When it produces and sells 4,000 units, its average costs per unit are as follows:

Average
Cost per Unit
Direct materials$ 5.95
Direct labor$ 3.30
Variable manufacturing overhead$ 1.60
Fixed manufacturing overhead$ 3.00
Fixed selling expense$ 0.50
Fixed administrative expense$ 0.40
Sales commissions$ 1.50
Variable administrative expense$ 0.50

For financial reporting purposes, the total amount of product costs incurred to make 4,000 units is closest to:



▸ $43,400

▸ $55,400

▸ $59,400

▸ $12,000
Textbook 

Introduction to Managerial Accounting: Brewer Edition: 9e


Edition: 9th
Authors:
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jmoline2jmoline2
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2 months ago
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$55,400

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mregueral Author
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2 months ago
Thank you, thank you, thank you!
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Yesterday
This helped my grade so much Perfect
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2 hours ago
Brilliant
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