Dake Corporation's relevant range of activity is 2,300 units to 5,500 units. When it produces and sells 3,900 units, its average costs per unit are as follows: Direct materials. Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Multiple Choice $57,915 For financial reporting purposes, the total amount of product costs incurred to make 3,900 units is closest to: $48,165 $61,815 Average Cost per $9,750 Unit $6.80 $ 4.00 $ 1.55 $2.50 $ 1.15 $ 0.85 $0.95 $ 0.85

Principles of Accounting Volume 2
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ISBN:9781947172609
Author:OpenStax
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Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 14EB: Crafts 4 All has these costs associated with production of 12,000 units of accessory products:...
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Dake Corporation's relevant range of activity is 2,300 units to 5,500 units. When it
produces and sells 3,900 units, its average costs per unit are as follows:
Direct materials
Direct labor
Variable manufacturing overhead
Fixed manufacturing overhead
Fixed selling expense
Fixed administrative expense
Sales commissions
Variable administrative expense
Multiple Choice
$57,915
For financial reporting purposes, the total amount of product costs incurred to
make 3,900 units is closest to:
$48,165
$61,815
Average
Cost per
$9,750
Unit
$6.80
$ 4.00
$ 1.55
$ 2.50
$ 1.15
$ 0.85
$ 0.95
$ 0.85
Transcribed Image Text:5 pped Dake Corporation's relevant range of activity is 2,300 units to 5,500 units. When it produces and sells 3,900 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Multiple Choice $57,915 For financial reporting purposes, the total amount of product costs incurred to make 3,900 units is closest to: $48,165 $61,815 Average Cost per $9,750 Unit $6.80 $ 4.00 $ 1.55 $ 2.50 $ 1.15 $ 0.85 $ 0.95 $ 0.85
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