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Schonhardt Corporation's relevant range of activity is 2,200 units to 5,000 units. When it produces and sells 3,600 units, its average costs per unit are
Schonhardt Corporation's relevant range of activity is 2,200 units to 5,000 units. When it produces and sells 3,600 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $7.55 Direct labor $2.80 Variable manufacturing overhead $1.50 Fixed manufacturing overhead $3.00 Fixed selling expense $0.90 Fixed administrative expense $0.60 Sales commissions $0.70 $0.60 Variable administrative expense If 4,000 units are produced, the total amount of fixed manufacturing cost incurred is closest to: Multiple Choice $14,400 $10,800 $10,080 $14,040 D During the month of May, direct labor cost totaled $11,720 and direct labor cost was 40% of prime cost. If total manufacturing costs during May were $79,100, the manufacturing overhead was: Multiple Choice $49,800 $29,300 $67,380 $17,580 Macy Corporation's relevant range of activity is 3,300 units to 8,500 units. When it produces and sells 5,900 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $4.70 Direct labor $3.15 Variable manufacturing overhead $1.15 Fixed manufacturing overhead $4.30 Fixed selling expense $1.10 Fixed administrative expense $0.65 Sales commissions $1.05 $0.55 Variable administrative expense If the selling price is $24.00 per unit, the contribution margin per unit sold is closest to: Multiple Choice) $16.15 $6.35 $13.40 $9.00
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