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Pina Colada Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below for the production of 2,700 units. The
Pina Colada Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below for the production of 2,700 units. The utilities and maintenance costs are mixed costs. The fixed portions of these costs are $500 and $400, respectively. Production in Units Production Costs Direct materials Direct labor Utilities Property taxes Indirect labor Supervisory salaries Maintenance Depreciation 2,700 $7,290 16,200 2,120 1,500 4,050 1,900 ,210 3,900 Calculate the expected costs when production is 4,700 units. Cost to produce 4,700 units
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