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Homework: HW 02 Question 5, E2-27 (similar to) Part 2 of HW Score: 81.05%, 4.05 of 5 points Points: 0.05 of 1 Save Seaside

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Homework: HW 02 Question 5, E2-27 (similar to) Part 2 of HW Score: 81.05%, 4.05 of 5 points Points: 0.05 of 1 Save Seaside Motors specializes in producing one specialty vehicle. It is called Surfer and is styled to easily fit multiple surfboards in its back area and top-mounted storage racks. Seaside has the following manufacturing costs: (Click the icon to view the manufacturing costs) Seaside currently produces 220 vehicles per month. Requirements 1. What is the variable manufacturing cost per vehicle? What is the fixed manufacturing cost per month? 2. Plot a graph for the variable manufacturing costs and a second for the fixed manufacturing costs per month. How does the concept of relevant range relate to your graphs? Explain. 3. What is the total manufacturing cost of each vehicle if 70 vehicles are produced each month? 195 vehicles? How do you explain the difference in the manufacturing cost per unit? Requirement 1. What is the variable manufacturing cost per vehicle? What is the fixed manufacturing cost per month? The variable cost per vehicle is $ 2,450 Determine the fixed manufacturing cost per month at each of the following capacity levels. 0-500 tires per month 501-1,000 tres per month more than 1,000 tires per month Data table Plant management costs. $1,464,000 per year Cost of leasing equipment, $1,800,000 per year Workers wages, $500 per Surfer vehicle produced Direct materials costs: Steel, $1,200 per Surfer, Tires, $150 per tire, each Surfer takes 5 tires (one spare) City license, which is charged monthly based on the number of tires used in production: 0-500 tires $ 40,000 501-1,000 tires $ 65,000 more than 1,000 tires $ 190,000 Print Done - X

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