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What is the total manufacturing cost of each vehicle if 85 vehicles are produced each month? 210 vehicles? How do you explain the difference in
What is the total manufacturing cost of each vehicle if 85 vehicles are produced each month? 210 vehicles? How do you explain the difference in the manufacturing cost per unit?
The above variable cost per vehicle and fixed manufacturing costs are correct. I just don't know how to solve the part below(fixed unit cost, variable unit cost, and total unit cost). Thank you!
Plant management costs, $2,256,000 per year Cost of leasing equipment, $2,460,000 per year Workers' wages, $800 per Surfer vehicle produced Direct materials costs: Steel, \$1,600 per Surfer; Tires, \$130 per tire, each Surfer takes 5 tires (one spare) City license, which is charged monthly based on the number of tires used in production: Determine the fixed manufacturing cost per month at each of the following capacity levelsStep by Step Solution
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