Sandhill Enterprises is considering manufacturing a new product. It projects the cost of direct materials and rent for a range of output as shown below. Output in Units 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 11,000 Rent Expense $6,550 6,550 10,480 10,480 10,480 10,480 10,480 10,480 13,100 13,100 13,100 Direct Materials $5,240 6,900 6,900 9,200 11,500 13,800 16,100 18,400 38,383 45,850 57,640

Sandhill Enterprises is considering manufacturing a new product. It projects the cost of direct materials and rent for a range of output as shown below. Sandhill Enterprises is considering manufacturing a new product. It projects the cost of direct materials and rent for a range of output as shown below