Question
Exercise 2-51 (Algo) Cost Behavior and Forecasting (LO 2-5) Trumball Catering served 4,600 meals last month. Trumball recorded the following costs with those meals: Variable
Exercise 2-51 (Algo) Cost Behavior and Forecasting (LO 2-5) Trumball Catering served 4,600 meals last month. Trumball recorded the following costs with those meals: Variable costs: Ingredients used $ 10,800 Direct labor 23,700 Indirect materials and supplies 10,500 Utilities 4,380 Truck fuel and other variable costs 6,800 Fixed costs: Managers' salaries $ 31,700 Rent 17,200 Depreciation on trucks and equipment (straight-line, time basis) 10,600 Miscellaneous fixed costs 4,700 Required: Unit variable costs and total fixed costs are expected to remain unchanged next quarter. Calculate the unit cost and the total cost if 5,520 meals are served next quarter. Note: Round "Unit costs" answer to 2 decimal places.
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