Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the company can produce and sell 32,000 Rets per year. Costs associated with this level of production and sales are given below: ni Total Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expense Fixed selling expense $25$ 800,000 256,000 96,000 224,000 128,000 192,000 4 6 Total cost $53 $ 1,696,000 The Rets normally sell for $58 each. Fixed manufacturing overhead is constant at $224,000 per year within the range of 25,000 through 32,000 Rets per year