Petrov Drycleaners has capacity to clean up to 7,500 garments per month Requirements 1. Complete the schedule below for the three volumes shown. 2. Why does the average cost per garment change? 3. Suppose the owner, Dennis Petrov, erroneously uses the average cost per unit at full capacity to predict total costs at a volume of 4,500 garments. Would he overestimate or underestimate his total costs? By how much? Requirement 1. Complete the following schedule for the three volumes shown. (Round all unit costs to the nearest cent and all total costs to the nearest whole dollar) 4,500 6,000 7,500 Garments Ganments Garments Total variable costs Total fixed costs Total operating costs 4,800 Variable cost per garment Fixed cost per garment Average cost per garment 2.40 Requirement 2. Why does the average cost per garment change? The average cost per garment changes as volume changes, due to the component of the dry cleaner's costs. The cost per unit decreases as volume while the variable cost per unit Requirement 3. Suppose the owner, Dennis Petrov, erroneously uses the average cost per unit at full capacity to predict total costs at a volume of 4,500 garments. Would he overestimate or underestimate his total costs? By how much? He would his costs by $ Data Table 1 Direct materials Direct labor Variable manufacturing overhead Variable marketing expenses Fixed manufacturing overhead Total cost $2,300,000 total fixed manufacturing overhead 40 13 4 20 85 115,000 pairs of sunglasses Print Done