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Cullumber's Recording Studio rents studio time to musicians in 2-hour blocks. Each session includes the use of the studio facilities, a digital recording of the
Cullumber's Recording Studio rents studio time to musicians in 2-hour blocks. Each session includes the use of the studio facilities, a digital recording of the performance, and a professional music producer/mixer. Anticipated annual volume is 1,000 sessions. The company has invested $3,200,000 in the studio and expects a return on investment (ROI) of 15%. Budgeted costs for the coming year are as follows. Per Session Total Direct materials Direct labor $60 $205 Variable overhead $50 Fixed overhead $1.105,000 Variable selling and administrative expenses $40 Fixed selling and administrative expenses $1,040,000 Determine the total unit cost per session. Total unit cost per session: $ Save for Later Attempts: 0 of 1 used Subm
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