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Kesterson Corporation has provided the following information: Cost per Unit Cost per Period Direct materials $ 6.95 Direct labor $ 3.80 Variable manufacturing overhead $

Kesterson Corporation has provided the following information:

Cost per Unit Cost per Period
Direct materials $ 6.95
Direct labor $ 3.80
Variable manufacturing overhead $ 1.35
Fixed manufacturing overhead $ 11,500
Sales commissions $ 1.70
Variable administrative expense $ 0.70
Fixed selling and administrative expense $ 5,000

If 5,000 units are produced, the total amount of indirect manufacturing cost incurred is closest to:

Multiple Choice

  • $21,750

  • $11,500

  • $6,750

  • $18,250

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