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Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is
Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is 01,500 units, and monthly production costs for the production of 500 units follow. Morning Doves utilities and maintenance costs are mixed with the fixed components shown in parentheses.
Production Costs | Total Cost | |
Direct materials | $ | 1,500 |
Direct labor | 7,500 | |
Utilities ($100 fixed) | 650 | |
Supervisors salary | 3,000 | |
Maintenance ($280 fixed) | 480 | |
Depreciation | 800 | |
Just request 4 - Calculate Morning Doves expected total cost if production increased to 1,200 units per month. Enter answer as an equation in the form of y = a + bx.
Calculate Morning Dove's expected total cost if production increased to 1,200 units per month. Enter answer as an equation in the form of y=a+bx. (Round Variable cost per unit to 2 decimal places.)
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