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Perteet Corporation's relevant range of activity is 3,900 units to 8,500 units. When it produces and sells 6,200 units, its average costs per unit are
Perteet Corporation's relevant range of activity is 3,900 units to 8,500 units. When it produces and sells 6,200 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $6.40 Direct labor $3.25 Variable manufacturing overhead $1.50 Fixed manufacturing overhead $3.50 Fixed selling expense $0.80 Fixed administrative expense $0.50 Sales commissions Variable administrative expense $0.60 $0.65 If 4,600 units are produced, the total amount of manufacturing overhead cost is closest to: Multiple Choice $23,000 $36,650 $28,600 $19,780 Paolucci Corporation's relevant range of activity is 6,300 units to 13,500 units. When it produces and sells 9,900 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $6.75 Direct labor $3.65 Variable manufacturing overhead $1.65 Fixed manufacturing overhead $2.90 Fixed selling expense $0.95 Fixed administrative expense $0.65 Sales commissions Variable administrative expense $0.90 $0.55 If 8,900 units are sold, the variable cost per unit sold is closest to: Multiple Choice $18.00 $12.05 $14.95 $13.50 Bellucci Corporation has provided the following information: Cost per Cost per Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Sales commissions Variable administrative expense Fixed selling and administrative expense Unit Period $6.90 $3.90 $1.40 $102,850 $1.00 $0.70 $ 37,400 The incremental manufacturing cost that the company will incur if it increases production from 8,500 to 8,501 units is closest to (assume that the increase is within the relevant range): Multiple Choice $27.30 $12.20 O $30.40 $24.30
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