Question
Rose Company has a relevant range of production between 10,000 and 25,000 units. The following cost data represents average cost per unit for 15,000 units
Rose Company has a relevant range of production between 10,000 and 25,000 units. The following cost data represents average cost per unit for 15,000 units of production.
| Average Cost per Unit | |
| Direct Materials | $12 |
| Direct Labor | 10 |
| Indirect Materials | 2 |
| Fixed manufacturing overhead | 4 |
| Variable manufacturing overhead | 3 |
| Fixed selling and administrative expense | 8 |
| Variable Sales commissions | 25 |
If 11,000 units are produced, what is the variable cost per unit
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Analytical Corporate Finance
Authors: Angelo Corelli
1st Edition
3319395483, 9783319395487
