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Question 26 6 pts Mullis Corp. manufactures DVDs that sell for $5.00. Fixed costs are $28,000 and variable costs are $3.60 per unit. Mullis can

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Question 26 6 pts Mullis Corp. manufactures DVDs that sell for $5.00. Fixed costs are $28,000 and variable costs are $3.60 per unit. Mullis can buy a newer production machine that will increase fixed costs by $17,000 per year, but will decrease varlable costs by $0.40 per unit. a. Find breakeven in units and sales dollars before considering the new machinery. b. What effect would the purchase of the new machine have on Mullis' break-even point in units? dollars? c. How many units would Mullis need to sell with the new machinery to make a target profit of $60,000? (round units up to a whole number) Edit View Insert Format Tools Table 12ptParagraph B IV A 2 Tv The following information is available for a company's ctity costs over the last four montis. Month Machine hrs Utility Cost January 900 $5,450 February 1.800 $6,900 March 2,400 $8,100 600 $3,600 April Use the high-low method to estimate the variable cost per machine hr and the fixed cost in cost equation. Use the cost equation to predict utilities cost if 1.100 machine hours were used? CoolStuff Company produces t-shirts that go through two operations, cutting and sewing before they are complete. Expected costs and activities for the two departments are shown below. The sewing department uses machine hours to allocate overhead and the cutting department uses direct labor hours. Tie-dyed T-shirts use 26,500 labor hours and 41,000 machine hours, Cutting Dept Sewing Dept Direct labor hours 250,000 DLH 47,500 DLH Machine hours 105,000 MHR 150,000 MHR Overhead costs $500,000 $375,000 a. Find the departmental overhead rate for each department. (round to 2 decimal places) b. How much overhead cost is allocated to Tie-dyed T-shirts

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