Multiple Choice

• $8,000

• $3,600

• $7,700

• $11,600

Multiple Choice

• $172,800

• $93,600

• $79,600

• $87,600

Varela Corporation's relevant range of activity is 2,000 units to 6,000 units. When it produces and sells 4,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost per Unit $ 5.95 $ 3.30 $ 1.60 $ 3.00 $ 0.50 $ 0.40 $ 1.50 $ 0.50 For financial reporting purposes, the total amount of period costs incurred to sell 4,000 units is closest to: Mccaskell Corporation's relevant range of activity is 7,000 units to 11,000 units. When it produces and sells 9,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost per Unit $ 6.30 $ 3.65 $ 1.75 $ 9.90 $ 2.25 $ 1.80 $ 1.00 $ 0.50 If 8,000 units are produced, the total amount of direct manufacturing cost incurred is closest to