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X Company manufactures a single product and estimates total manufacturing costs each month. The accountant provides the following information about its manufacturing process: Direct material
X Company manufactures a single product and estimates total manufacturing costs each month. The accountant provides the following information about its manufacturing process:
Direct material quantity | 2.5 pounds per unit of finished product | |||
Direct material price | $20.60 per pound | |||
Direct labor time | 2.0 hours per unit of finished product | |||
Direct labor wage rate | $12.80 per hour |
Question: The monthly overhead cost function is $3,500+$2.20X, where X is the number of units produced. If X Company expects to produce 1,040 units in March, what are estimated total manufacturing costs for for March?
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