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Required information [ The following information applies to the questions displayed below. ] Kubin Company's relevant range of production is 1 3 , 0 0
Required information
The following information applies to the questions displayed below.
Kubin Company's relevant range of production is to units. When it produces and sells units, its
average costs per unit are as follows:
Required:
What is the incremental manufacturing cost incurred if the company increases production from to units?
What is the incremental cost incurred if the company increases production and sales from to units?
Assume Kubin Company produced units and expects to sell of them. If a new customer unexpectedly emerges and
expresses interest in buying the extra units that have been produced by the company and would otherwise remain unsold,
what is the incremental manufacturing cost per unit incurred to sell these units to the customer?
Assume Kubin Company produced units and expects to sell of them. If a new customer unexpectedly emerges and
expresses interest in buying the extra units that have been produced by the company and would otherwise remain unsold,
what incremental selling and administrative cost per unit is incurred to sell these units to the customer?
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