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Shingle Enterprises is considering manufacturing a new product. It projects the cost of direct materials and rent for a range of output as shown below.
Shingle 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 Rent Direct Expense Materials 1,000 2,000 7,235 $ 5,788 7,235 11,576 11,576 11,576 11,576 11,576 11,576 14,470 14,470 14,470 10,418 8,700 11,600 14,500 17,400 20,300 23,200 42,397 50,645 63,668 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 11,000 Determine the relevant range of activity for this product The relevant range of activity for this product units Calculate the variable costs per unit within the relevant range. (Round answer to 2 decimal places, e.g. 1.25.) Variable costs per unit per unit Indicate the fixed cost within the relevant range Fixed cost
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