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Best-Cola spends $2 on direct materials, direct labor and vanable manufacturing overhead for every unit (12-pack of soda) & produces Foxed manufacturing overhead costs
Best-Cola spends $2 on direct materials, direct labor and vanable manufacturing overhead for every unit (12-pack of soda) & produces Foxed manufacturing overhead costs $3 million per year. The plant which Kis curently operating at only 70% of capacity, produced 15 million units this year Management plans to operate closer to full capacity next year, producing 25 milion units Management doesn't anticipate any changes in the prices it pays for materials, labor, and manufacturing overhead Read the reguatements Requirement 1. What is the current total product cost dor the 15 million units), including foxed and vanable costs? Determine the formula, then calculate the canent total product cost (for the 15 million units), including feed and variable costs Total fixed costs Total vanable costs million mone Total product costs milion
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