Question
Requirement 6. Assume that the implied cost-behavior patterns in requirement 4 persist. That is, direct material costs behave as a variable cost, and plant and
Requirement 6. Assume that the implied cost-behavior patterns in requirement 4 persist. That is, direct material costs behave as a variable cost, and plant and equipment depreciation behaves as a fixed cost. Repeat the computations in requirement 4, assuming that the costs are being predicted for the manufacture of 1.41 million units of product. How would the total costs be affected? (Round your answers to the nearest cent.)
The unit cost for the direct materials would be $_______ per unit and the unit cost for plant and equipment depreciation would be $______ per unit.
The unit cost for the direct materials assigned to those units is $ 245.00 per unitStep by Step Solution
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