What is the variable cost per unit produced (to decimal Do not round intermediate calculations)

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What is the variable cost per unit produced (to decimal Do not round intermediate calculations)

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What is the variable cost per unit produced (to decimal Do not round intermediate calculations)

What is the variable cost per unit produced (to decimal Do not round intermediate calculations)

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What is the variable cost per unit produced (to decimal Do not round intermediate calculations)

The Foundational 15 [LO1-1, LO1-2, LO1-3, LO1-4, LO1-5,

LO1-6]

[The following information applies to the questions displayed below.]

Martinez Company’s relevant range of production is 7,500 units to 12,500

units. When it produces and sells 10,000 units, its average costs per unit are

as follows:

Average Cost

Per Unit

Direct materials$5.10

Direct labor$2.60

Variable manufacturing

overhead$1.60

Fixed manufacturing

overhead $4.00

Fixed selling expense$2.10

Fixed administrative expense$2.10

Sales commissions$1.10

Variable administrative

expense$ 0.55

Foundational 1-1

Required:

1. For financial accounting purposes, what is the total amount of product

costs incurred to make 10,000 units? (Do not round intermediate

calculations.)

Total

product

cost

$133,000selected

answer correct

Garrison 16e Rechecks 2017-06-22

Explanation

1.

Direct materials$5.10

Direct labor 2.60

Variable manufacturing overhead 1.60

Variable manufacturing cost per unit$9.30

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