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Bellucci Corporation has provided the following information: Cost per Unit Cost per Period Direct materials $ 7.20 Direct labor $ 4.50 Variable manufacturing overhead $
Bellucci Corporation has provided the following information:
Cost per Unit | Cost per Period | |||||
Direct materials | $ | 7.20 | ||||
Direct labor | $ | 4.50 | ||||
Variable manufacturing overhead | $ | 1.25 | ||||
Fixed manufacturing overhead | $ | 120,650 | ||||
Sales commissions | $ | 1.30 | ||||
Variable administrative expense | $ | 0.55 | ||||
Fixed selling and administrative expense | $ | 44,650 | ||||
The incremental manufacturing cost that the company will incur if it increases production from 9,500 to 9,501 units is closest to (assume that the increase is within the relevant range):
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