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Answer is not 55050 Exercise 25-07 a-b Lily Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP
Answer is not 55050
Exercise 25-07 a-b Lily Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants to begin using a flexible budgeting system, rather than use only the current master budget. The following data are available for AP's expected costs at production levels of 82,000, 96,000, and 110,000 units. Variable costs Manufacturing $7 per unit Administrative $4 per unit $1 per unit Selling Fixed costs Manufacturing $160,000 Administrative $79,000 LILY INC. Flexible Production Cost Budget Activity Level 82000 96000 110000 Production Levels Variable Costs 574000 672000 770000 Manufacturing 440000 Administrative 384000 328000 82000 96000 110000 Selling Total Variable Costs 984000 1152000 1320000 Fixed Costs Manufacturing 160000 160000 160000 79000 79000 79000 Administrative 239000 Total Fixed Costs 239000 239000 1559000 1223000 1391000 Total Costs LINK TO TEXT X Your answer is incorrect. Try again. If AP sells the toaster ovens for $18 each, how many units will it have to sell to make a profit of $421,600 before taxes? Units to be sold PStep by Step Solution
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