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pare sold per year at the Doral Compa 1. CVP exercises. The Doral Company manufactures and sells pens. Currently, 7,000,000 units are sold per year

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pare sold per year at the Doral Compa 1. CVP exercises. The Doral Company manufactures and sells pens. Currently, 7,000,000 units are sold per year at $1.50 per unit. Fixed costs are $900,000 per year. Variable costs are 80.60 per unit. Consider each case separately: Ram 2. Extreme Manufacturing Company provides the following ABC costing information: Activities Account inquiry Account billing Account verification accounts Correspondence letters Total costs Total Costs $320,000 $200,000 $173,250 $24.000 $717.250 Activity-cost drivers 16,000 hours 4,000,000 lines 70,000 accounts 4,000 letters The above activities are used by Departments A and B as follows: Account inquiry hours Account billing lines Account verification accounts Correspondence letters Department A 2,700 hours 950,000 lines 8,500 accounts 1,400 letters Department B 4,200 hours 750,000 lines 6,500 accounts 1,800 letters pare sold per year at the Doral Compa 1. CVP exercises. The Doral Company manufactures and sells pens. Currently, 7,000,000 units are sold per year at $1.50 per unit. Fixed costs are $900,000 per year. Variable costs are 80.60 per unit. Consider each case separately: Ram 2. Extreme Manufacturing Company provides the following ABC costing information: Activities Account inquiry Account billing Account verification accounts Correspondence letters Total costs Total Costs $320,000 $200,000 $173,250 $24.000 $717.250 Activity-cost drivers 16,000 hours 4,000,000 lines 70,000 accounts 4,000 letters The above activities are used by Departments A and B as follows: Account inquiry hours Account billing lines Account verification accounts Correspondence letters Department A 2,700 hours 950,000 lines 8,500 accounts 1,400 letters Department B 4,200 hours 750,000 lines 6,500 accounts 1,800 letters

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