Exercise 1-10 Differential Costs and Sunk Costs [LO1-5) Kubin Company's relevant range of production is 27,000 to 29,000 units. When it produces and sells 28,000 units, its average costs per unit are as follows: 8.70 s5.70 s 3.20 6.70 s 5.20 4.20 $ 2.70 2.20 Direct 1abor overhead Fixed selling expense tive expense Sales commissions Required 1. What is the incremental manufacturing cost incurred if the company increases production from 28,000 to 28,001 units? 2. What is the incremental cost incurred if the company increases production and sales from 28,000 to 28,001 units? 3. Assume that Kubin Company produced 28,000 units and expects to sell 27630 of them. If a new customer unexpectedly emerges and expresses interest in buying the 370 extra units that have been produced by the company and that would otherwise remain unsold, what is the incremental manufacturing cost per unit incurred to sell these units to the customer? 4. Assume that Kubin Company produced 28,000 units and expects to sell 27630 of them. If a new and expresses interest in buying the 370 extra units that have been produced by the company and that would otherwise remain customer unexpectedly emerges unsold, what incremental selling and administrative cost per unit is incurred to sell these uni ts to the customer