18

Skolnick Corporation has provided the following information:

	Cost per Unit			Cost per Period
Direct materials	$	5.40
Direct labor	$	3.60
Variable manufacturing overhead	$	1.70
Fixed manufacturing overhead				$	112,000
Sales commissions	$	1.50
Variable administrative expense	$	0.50
Fixed selling and administrative expense				$	32,200

Required:

a. If 7,000 units are produced, what is the total amount of direct manufacturing cost incurred? (Do not round intermediate calculations.)

b. If 7,000 units are produced, what is the total amount of indirect manufacturing costs incurred?