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A company's relevant range of production is 10,000 to 15,000 units. When it produces and sells 12,000 units, its unit costs are as follows:
A company's relevant range of production is 10,000 to 15,000 units. When it produces and sells 12,000 units, its unit costs are as follows: Amount per Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense ces Sales commissions Unit $ 10.00 $ 6.00 $ 1.50 $ 5.00 $ 3.50 $ 2.00 $ 1.00 $ 0.50 Variable administrative expense What is the incremental cost incurred if the company increases production from 12,000 to 12,001 units? Multiple Choice $24.00 $29.50
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