Cost Formula

The following amounts of various cost categories are experienced by Columbia Factories in producing and selling its only product:

Direct material	$8.00 per unit of product
Direct labor	$10.00 per direct labor hour*
Manufacturing overhead	$12,000 + $4.00 per direct labor hour
Selling expenses	$14,000 + $3.00 per unit of product
Administrative	$7,000 + $0.50 per unit of product

*Each unit of product requires one-half direct labor hour.

Combine the various cost factors into a general total cost formula for Columbia Factories and determine the total cost of producing and selling 15,000 units.

CLICK HERE TO REVIEW LEARNING OBJECTIVES QUESTION 1 Not complete Points out of 3.00P Flag question Cost Formula The following amounts of various cost categories are experienced by Columbia Factories in producing and selling its only product: $8.00 per unit of product Direct material Direct labor Manufacturing overhead $12,000+$4.00 per direct labor hour Selling expenses Administrative *Each unit of product requires one-half direct labor hour Combine the various cost factors into a general total cost formula for Columbia Factories and determine the total cost of producing and selling 15,000 units. $10.00 per direct labor hour* 14,000+$3.00 per unit of product $7,000+$0.50 per unit of product Fixed costs Variable costsTotal cost Direct material 0 Direct labor 0 Manufacturing overhead 0 Selling expenses Administrative Total cost Check