Kubin Companys relevant range of production is 24,000 to 31,000 units. When it produces and sells 27,500 units, its average costs per unit are as follows:

	Average Cost per Unit
Direct materials	$ 8.40
Direct labor	$ 5.40
Variable manufacturing overhead	$ 2.90
Fixed manufacturing overhead	$ 6.40
Fixed selling expense	$ 4.90
Fixed administrative expense	$ 3.90
Sales commissions	$ 2.40
Variable administrative expense	$ 1.90

Exercise 1-7 (Algo) Direct and Indirect Costs [LO1-1]

Required:

1. Assume the cost object is units of production:

a. What is the total direct manufacturing cost incurred to make 27,500 units?

b. What is the total indirect manufacturing cost incurred to make 27,500 units?

2. Assume the cost object is the Manufacturing Department and that its total output is 27,500 units.

a. How much total manufacturing cost is directly traceable to the Manufacturing Department?

b. How much total manufacturing cost is an indirect cost that cannot be easily traced to the Manufacturing Department?

3. Assume the cost object is the companys various sales representatives. Furthermore, assume that the company spent $107,250 of its total fixed selling expense on advertising and the remainder of the total fixed selling expense comprised the fixed portion of the company's sales representatives compensation.

a. When the company sells 27,500 units, what is the total direct selling expense that can be readily traced to individual sales representatives?

b. When the company sells 27,500 units, what is the total indirect selling expense that cannot be readily traced to individual sales representatives?

1. Assume the cost object is units of production:

a. What is the total direct manufacturing cost incurred to make 27,500 units? (Round per unit values to 2 decimal places.)

b. What is the total indirect manufacturing cost incurred to make 27,500 units? (Round per unit values to 2 decimal places.)

1a. Direct materials per unit	$8.40
1a. Direct labor per unit	5.40
1a. Direct manufacturing cost per unit	$13.80
1a. Number of units produced and sold	27,500
1a. Total direct manufacturing cost	$379,500
1b. Variable manufacturing overhead per unit	$2.90
1b. Fixed manufacturing overhead per unit	6.40
1b. Indirect manufacturing cost per unit	$9.30
1b. Number of units produced and sold	27,500
1b. Total indirect manufacturing cost	$255,750

2. Assume the cost object is the Manufacturing Department and that its total output is 27,500 units.

a. How much total manufacturing cost is directly traceable to the Manufacturing Department? (Round per unit values to 2 decimal places.)

b. How much total manufacturing cost is an indirect cost that cannot be easily traced to the Manufacturing Department?

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2a. Direct materials per unit	$8.40
2a. Direct labor per unit	5.40
2a. Variable manufacturing overhead per unit	2.90
2a. Fixed manufacturing overhead per unit	6.40
2a. Total manufacturing cost per unit	$23.10
2a. Number of units produced and sold	27,500
2a. Total direct costs	$635,250
2b. Total indirect costs

3. Assume the cost object is the companys various sales representatives. Furthermore, assume that the company spent $107,250 of its total fixed selling expense on advertising and the remainder of the total fixed selling expense comprised the fixed portion of the company's sales representatives compensation.

a. When the company sells 27,500 units, what is the total direct selling expense that can be readily traced to individual sales representatives? (Round per unit value to 2 decimal places.)

b. When the company sells 27,500 units, what is the total indirect selling expense that cannot be readily traced to individual sales representatives?

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3a. Sales commissions per unit	$2.40
3a. Number of units sold
3a. Total sales commission	$0
3a. Fixed portion of sales representatives compensation	107,250
3a. Total direct selling expense	$107,250
3b. The total indirect selling expense

Can you please check my work and correct them as well! Thank You!