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Cullumber Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below for the production of 3,600 units. Direct materials.
Cullumber Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below for the production of 3,600 units.
Direct materials. $10.590 Direct labor. 21,576 Utilities 2.224 Property taxes. 1,412 Indirect labor. 6,354 Supervisory salaries. 2,683 Maintenance 1.182 Depreciation (straight-line) 3,389 The utilities and maintenance costs are mixed costs. The fixed components of these costs are $424 and $282, respectively.
Calculate unit variable cost, unit variable cost for utilities and unit variable cost for maintenance. Exclude mixed costs in the calculation for unit variable cost. (Round answers to 2 decimal places e.g. 2.25.) Variable cost per unit (exclude variable cost for utilities and maintenance) $ Variable cost per unit for utilities $ Variable cost per unit for maintenance $ Calculate the expected costs when production is 7,060 units. Cost to produce 7,060 units $Step by Step Solution
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