Sheridan Enterprises is considering manufacturing a new product. It projects the cost of direct materials and...

Transcribed Image Text:

Sheridan 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 Rent in Units Expense Direct Materials 1,000 $6,755 $5,404 2,000 6,755 7,200 3,000 10,808 7,200 4,000 10,808 9,600 5,000 10,808 12,000 6,000 10,808 14,400 7,000 10,808 16,800 8,000 10,808 19,200 9,000 13,510 39,584 10,000 13,510 47,285 11,000 13.510 59,444 Sheridan 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 Rent in Units Expense Direct Materials 1,000 $6,755 $5,404 2,000 6,755 7,200 3,000 10,808 7,200 4,000 10,808 9,600 5,000 10,808 12,000 6,000 10,808 14,400 7,000 10,808 16,800 8,000 10,808 19,200 9,000 13,510 39,584 10,000 13,510 47,285 11,000 13.510 59,444