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ADBE Inc. currently produces 42,150 units of its single product each month. ADBE's relevant range of production is 29,500 units to 59,000 units per month.

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ADBE Inc. currently produces 42,150 units of its single product each month. ADBE's relevant range of production is 29,500 units to 59,000 units per month. The company incurs the following unit costs at the current production volume: Direct materials $13.15 per unit Direct labor $20.00 per unit Variable manufacturing $8.55 per unit overhead Fixed manufacturing $12.30 per unit overhead Sales $3.25 per unit commissions Variable administrative $1.55 per unit expense The company is currently considering decreasing its monthly production volume to 39.500 units. What would be the total manufacturing cost associated with the new production volume of 39,500 units per month? O $2,133,000 $2,354,850 $2,165,595 $2,732,500 None of the above Which of the following is true of a variable cost? A variable cost decreases on a per unit basis as output decreases and increases on a per unit basis as output increases A variable cost increases in total as output decreases and decreases in total as output increases O A variable cost decreases on a per unit basis as output increases and increases on a per unit basis as output decreases A variable cost remains constant or is fixed on a per unit basis within the relevant range O None of the above Which of the following statements about the method of least squares (regression) is FALSE? Is a way to find the best-fitting line through a set of data points O Always produces the same cost formula when used on the same data set Is a statistical way of separating a mixed cost into fixed and variable components Includes measures of the statistical significance of the relation between the cost driver and the total mixed cost as well as the accuracy of the cost function itself None of the above (i.e., all of the above statements are true) Manufacturing overhead (MOH) costs and direct labor hours used in production at CRM Corp. for the 9-month period ending November 2020 are listed below: Direct Labor Hours Total MOH Cost $54,384 March 3,627 April 3,588 $53,980 May 3,637 $54,453 June 3.638 $54.491 July 3,570 $53,800 $54,196 August 3,611 September 3,644 October 3,609 $54,750 $54,181 November 3,670 $54,700 MOH cost is a mixed cost that depends on the number of direct labor hours used in production. Using the high-low method, what would be the total forecasted MOH cost for December 2020 if CRM expects to use 3,600 direct labor hours in December 2020. $53,990 O $53,850 $53,970 $54,070 None of the above

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