QUESTION 3 Avalanche, Ltd. is currently selling 3,200 units of its product. The following information is also given for the firm: Per unit: Per month: Sales price $48 Variable manufacturing costs $20 Fixed Manufacturing costs $38,000 Variable Selling and Administrative costs $6 Fixed Selling and Administrative costs $25,900 How many units must the firm sell in order to earn net income of $17,500 (assume no taxes). Round your final answer up to the nearest whole unit. O a. 3,700 o b. 2,905 O C. None of the other choices are correct O d. 2,458 O e. 2,523 QUESTION 4 Alvin, Inc. is a manufacturer and uses a job order costing system. It uses a single, plantwide predetermined overhead rate based on machine hours (Mh). The firm estimates that fixed factory overhead will be $2,500,000 and variable factory overhead will be $1,300,000 for the upcoming period. They also estimate that direct labor hours used will be 82,600 DLh and machine hours used will be 56,000 Mh for the upcoming period. What was the predetermined overhead rate the firm used during the period (round your final answer to two decimal places)? O $67.86 per Mh ob. $44.64 per Mh OC. $46.00 per Mh od. $23.21 per Mh O e. $27.42 per Mh QUESTION 5 Below is information from Destiny Calling, Inc. for the current period: Direct materials used $209,400 Direct labor used $121,900 Factory overhead costs $150,600 Administrative costs $77,200 Selling costs $56,000 Work in process inventory, beginning balance $59,900 Work in process inventory, ending balance $63,200 Finished goods inventory, beginning balance $47,800 Finished goods inventory, ending balance $52,300 The cost of goods manufactured for the firm is: oa. $474,100 O b. $485,200 OC. $481,900 O d. $480,700 o e $478,600 QUESTION 6 A fixed cost: a. Changes with changes in the volume of activity within the relevant range. ob. is always directly traceable to a cost object. O C. is irrelevant for managers' decision making. d. Does not change with changes in the volume of activity within the relevant range. o e Requires the future outlay of cash and is relevant for future decision making