Estrada Corporation produced 215,000 watches that it soid for $20 each. The company determined that fixed manufacturing cost per unit was $7 per watch. The company reported a $1,720,000 gross margin on its financial statements: Estrada Corporation produced 215,000 watches that it soid for $20 each. The company determined that fixed manufacturing cost per unit was $7 per watch. The company reported a $1,720,000 gross margin on its financial statements