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Cullumber Manufacturing manufactures a single product. Annual production costs incurred in the manufacturing process are shown below for the production of 4,500 units. The company's

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Cullumber Manufacturing manufactures a single product. Annual production costs incurred in the manufacturing process are shown below for the production of 4,500 units. The company's Utilities and Maintenance costs are mixed costs. The fixed portions of these costs are $550 and $450, respectively. Calculate the expected costs to be incurred when production is 6,500 units. Use your knowledge of cost behavior to determine which of the other costs are fixed or variable. Costs Incurred Production in Units 4,500 6,500 Type of cost Production Costs a. Direct Materials $ 14,625 $ AA > b. Direct Labor 37,125 c. Utilities > 3,250 d. Rent 5,500 e Indirect Labor 10,575 f. Supervisory Salaries 4,000 8. Maintenance 3,375 h. Depreciation 5,000

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