Problem one.

	Supreme	Deluxe	Regular
Total Manufacturing Cost	140	161	144
Units produced	50	100	80
Manufacturing cost per unit	2.8	1.61	1.8

During July 2013, the company incurred 190 millin of manufacturing costs, which included 190 million fixed cost component that will not fluctuate with chanes in monthly production volume. This Amount which has been allocated to the total manufacturing costs of producing each product, affects the total manufacturing cost per unit amounts as calculated in requirements.

I NEED THE ANSWER FOR THE FOLLOWING QUESTION UNDERLINED:

Given the production volume (decrease or increase) in August 2013 using the total manufacturing cost per unit amounts calculated for July 2013 will result in (An accurate estimate or an overestmiation or underestimation) of total manufacturing cost for august.

Supreme Deluxe Regular Supreme|Deluxe Regular Direct material costs Direct manufacturing labor costs Manufacturing overhead costs Units produced S 88 S 53 S 64 11 20 S 19 S 41S 88 S 61 80 50 100