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I. Orange Enterprises has the following information available regarding costs at various levels of monthly production: 12,000 8,000 Production volume $70,000 $75,000 J Direct materials

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I. Orange Enterprises has the following information available regarding costs at various levels of monthly production: 12,000 8,000 Production volume $70,000 $75,000 J Direct materials 80,000 56,000 Direct labor 30,000 22,000 Packaging materials 14,000 14,000 Supervisors' salaries Depreciation on plant and equipment 11,000 11,000 45,000 Maintenance 31,000 Utilities 21,000 15,000 Insurance on plant and equipment 2,600 2,600 Property taxes on plant and equipment 2,000 2,000 Total $228,600 $275,600 Required: Identify each cost as being variable, fixed, or mixed by writing the name of each cost under one of the following headings: a. Variable Costs, Fixed Costs, Mixed Costs b. Develop an equation for total monthly production costs. c. Predict total costs for a monthly production volume of 10,000 units FIRed ost Cost iked Co

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