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Brief Exercise 22-4 Gundy Company expects to produce 1,200,000 units of Product XX in 2017. Monthly production is expected to range from 70,000 to 100,000

Brief Exercise 22-4

Gundy Company expects to produce 1,200,000 units of Product XX in 2017. Monthly production is expected to range from 70,000 to 100,000 units. Budgeted variable manufacturing costs per unit are direct materials $3, direct labor $6, and overhead $9. Budgeted fixed manufacturing costs per unit for depreciation are $4 and for supervision are $1.

Prepare a flexible manufacturing budget for the relevant range value using 15,000 unit increments. (List variable costs before fixed costs.)

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