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Problem 12-18 Relevant Cost Analysis in a Variety of Situations LCD12-2, L012-3, L012-4] Andretti Company has a single product called a Dak. The company normally
Problem 12-18 Relevant Cost Analysis in a Variety of Situations LCD12-2, L012-3, L012-4] Andretti Company has a single product called a Dak. The company normally produces and sells 83,000 Daks each year at a selling price of $46 per unit. The company's unit costs at this level of activity are given below: 7.50 Direct materials 10.00 Direct labor 2.60 Variable manufacturing overhead Fixed manufacturing overhead 3.00 ($249,000 total) Variable selling expenses 3.70 4.50 ($373,500 total) Fixed selling expenses 31.30 Total cost per unit A number of questions relating to the production and sale of Daks follow. Each question is independent
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