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Babuca Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. Production
Babuca Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. |
Production volume | 15,400 | units | 17,000 | units |
Direct materials | $883,960 | $975,800 | ||
Direct labor | $254,100 | $280,500 | ||
Manufacturing overhead | $1,012,800 | $1,040,480 |
The best estimate of the total cost to manufacture 16,500 units is closest to: (Do not round intermediate calculations.) |
$2,157,940
$2,227,870
$2,251,180
$2,297,800
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